June 5th, 2015|
If you’re struggling to make ends meet financially, filing for bankruptcy may be a good option to get the relief you need. When you file for Chapter 7 bankruptcy, many of your debts can be discharged. That means you have no further responsibility to pay off those debts and creditors can take no further legal action against you to collect those debts.
But it’s important to know that some kinds of debts can’t be eliminated by filing bankruptcy. They include:
- Criminal Fines and Fees– Court costs, money owed to the courts, and restitution to victims of crimes can’t be discharged.
- Punitive or Compensatory Damages– Any debts owed due to civil litigation can’t be discharged.
- Money Owed to a Former Spouse– This includes alimony and child support.
- Student Loans – Whether the loan is from a private lending organization or the federal government, student loan debt can’t be discharged through bankruptcy.
- Money Owed to the Federal Government– Money owed for taxes or tax liens can’t be discharged through a bankruptcy proceeding.
The laws regarding bankruptcy discharges can be complicated, and hiring a legal representative may be beneficial if you’re considering filing bankruptcy. Our Terre Haute bankruptcy lawyers at Fleschner, Stark, Tanoos & Newlin understand that you have questions about bankruptcy proceedings and we’re here to help. Give us a call anytime at (800) 477-7315 to get the answers you need about your bankruptcy case.
March 27th, 2015|
Protecting Your Property During Bankruptcy
One of the most frequently asked questions about bankruptcy that our attorneys at Fleschner, Stark, Tanoos & Newlin get is, “Will I lose my property if I file for bankruptcy?” The answer is no, not necessarily, but you need to be informed about the best ways to protect your assets when going through the bankruptcy process.
Filing for Chapter 13 Bankruptcy
One of the best ways to ensure you keep your property while filing bankruptcy is choosing to file Chapter 13 bankruptcy as opposed to filing Chapter 7 bankruptcy. A Chapter 7 filing will require you to liquidate your assets in order to pay off your debts, whereas a filing under Chapter 13 will allow you to establish a payment plan to repay your creditors.
It’s important to know that there are strict rules and requirements that must be met in order to file Chapter 13 bankruptcy and selecting the proper exemptions can be crucial to staying within these requirements.
Bankruptcy exemptions protect certain pieces of your property from being used to pay off your debts. The law prohibits items like your vehicle, your primary home, or tools of your trade from being taken through the bankruptcy process.
These exemptions are also used to determine the final dollar amount you owe through bankruptcy, regardless of if you file under Chapter 7 or Chapter 13.
Getting The Help You Need
Determining what assets can be protected and which cannot is a complex process and may be easier with the assistance of a legal representative. At Fleschner, Stark, Tanoos & Newlin, we have a clear understanding of bankruptcy law and can help you determine what the best course to financial freedom is for you. Call our Terre Haute bankruptcy lawyers today to discuss your case at (800) 477-7315.