Will bankruptcy stop a car repo?
In Chapter 13, the borrower can have up to 5 years to pay off the car loan. This provides time to catch up on payments by spreading the past-due balance over essentially a new 60-month loan. Most often, the interest rate applied is around 6%. In addition to an interest rate reduction, an option… Read More »
Should I file Chapter 7 or 13 to prevent foreclosure?
Chapter 13 allows homeowners to modify their home mortgage. In addition, it may provide up to five years to catch up on missed mortgage payments without additional interest charges.
Which type of bankruptcy is best?
Each form of bankruptcy provides its unique benefits and disadvantages. You should consult with an attorney to see which type of bankruptcy would best suit your situation.
Do both types of bankruptcy have an automatic stay?
Yes, when either a Chapter 13 or 7 case is filed, an automatic stay will go into effect. The stay requires creditors to stop all collection activity against you immediately. Creditors and collection agencies will not be able to contact you, garnish wages, or repossess property while the stay is in effect.
Do all debts get discharged?
Most unsecured debts are discharged in Chapter 7. Unlike secured debts, unsecured debts are loans without collateral, such as credit cards and medical bills.
Can I keep my car?
Florida’s exemption laws provide exceptions to help protect a car’s equity. You may also be able to reduce the balance owed on your car loans without sacrificing the vehicle or other assets.
Will I lose my home?
The Florida homestead exemption protects a filer’s homestead property (primary residence) asset in Chapter 7. Therefore, you may not have to forfeit your home as a condition of bankruptcy.
What is the means test?
In 2005, Congress implemented the means test as a requirement for Chapter 7 bankruptcy, requiring Chapter 7 debtors to earn below a specified amount of income to be eligible.
Do I have to go to bankruptcy court?
Yes, you will be required to attend the meeting of creditors. Often, creditors do not attend, and the only parties in attendance are the bankruptcy trustee, debtor, and debtor’s attorney. The hearing usually occurs about 30 days after the case is filed.
How long does a bankruptcy case take?
A Chapter 7 bankruptcy case takes about 90 – 120 days to complete after it is filed. On the other hand, a Chapter 13 bankruptcy case is designed to last 3 – 5 years.