Answers to Some Common Bankruptcy Questions
Filing bankruptcy is a highly personal and serious decision. Here we offer some very basic information that may address a few of your doubts and concerns. You can also visit other pages on this Web site such as those on Chapter 7 and Chapter 13 bankruptcy and review our information on some common myths and misconceptions about bankruptcy.
For patient, informed counsel from a lawyer who can analyze your specific circumstances and answer other questions, please contact us today.
Will filing bankruptcy stop creditor harassment?
Yes. When you file bankruptcy, a court-ordered automatic stay goes into effect, forbidding creditors and collectors from contacting you. With this protection in place, they cannot initiate or continue any lawsuit against you, and they must stop any wage garnishment or other collection action already in progress.
Can filing bankruptcy save my home from foreclosure?
Depending on your exact circumstances, you may be able to gain time to catch up on mortgage payments by filing Chapter 13 bankruptcy. If you have not yet fallen behind, you may be able to file Chapter 7 to get help with other debt while keeping your house and some of the equity in it. At our law offices, we can also explore the possibility of a workout or other non-bankruptcy foreclosure defense strategy.
Will I lose all my property?
No. Our bankruptcy laws provide property exemptions that allow people to keep a certain amount of property including retirement accounts, some real estate, automobile and most personal possessions.
What are the most common reasons people file for personal bankruptcy?
There are many valid reasons for seeking debt relief and there will be over a million filings nationwide this year alone. Some frequent reasons include job loss, medical expenses, the impact of divorce, and the accumulation of too much credit card debt. In the current economic climate, declining real estate values and other investment losses are forcing many people to consider bankruptcy.
Can I file bankruptcy on my own, without an attorney?
Maybe, but the required procedures can be complicated and the risk of a mistake may be too great to justify the cost savings. We can help you make an informed decision, walk you through the process, and prevent errors that could keep you from getting the debt relief you badly need. Please contact our Phoenix, Arizona, area law offices to discuss our reasonable fees and flexible payment options.
