How Bankruptcy Works
If you are considering filing bankruptcy just know that the ultimate goal in filing a personal bankruptcy is getting a fresh start. A discharge can be achieved more quickly through a discharge in a Chapter 7. However, if you have to receive your discharge through a Chapter 13 which is basically a repayment plan. The payment you make will depend on a number of factors we can talk about at our meeting. A Chapter 13 plan last from between 36 to 60 months. Whichever Chapter to are able to file the end result is still the same, the forgiveness of your unsecured debt.
When you receive your discharge your unsecured debt will be forgiven, but you should be aware that any valid lien will remain in full force unless it is proven to be unenforceable. That means if you have secured debt you must make a decision about how you want to handle that debt. For example, your home or your car and oftentimes furniture and jewelry have loans on them. If that is the case those debts have to be paid for in full (oftentimes with interest) regardless of which chapter you file. Any secured creditor can object to your discharge and move to enforce its lien and recover the property if you fail to make timely payments. They may recover the property, however they cannot recover any deficiency left after they sell the property, as long as you receive your discharge.
Utah Bankruptcy Law Advocates (Who We Are)
Utah Bankruptcy Law Advocates is a Utah Bankruptcy Firm. We represent clients who seek bankruptcy advice and look to discharge debt through Chapter 7 Bankruptcy or Chapter 13 Bankruptcy. Bankruptcy law can be somewhat complicated but we have the answers you need to get through the process painlessly and more important successfully.
A quick checklist about how the process works is:
- We will have to have gather your pay stubs (6 months) and some tax returns (last two years).
- We want to make sure you have a driver’s license (or other picture ID).
- We also make sure you have a Social Security Card or original W2 (because if not you will want to order a new one).
- You will have to take two credit courses, one before you file and one after you file.
- You need to provide information about all of your assets, liabilities, income & expenses.
- We prepare your petition, statements and schedules and file them with the court.
- Once your petition is filed the “automatic stay” takes effect and any collection efforts cease immediately.
- With either a Chapter 7 or Chapter 13 you will be attending a meeting of creditors called the 341 hearing. But not to worry we are with you every step of the way.
Contact Us Today
Contact Us now and our experienced Bankruptcy Attorney can help you today. We will guide you personally through an otherwise difficult process, as conveniently and compassionately as possible. If you already have a judgment, garnishment or pending foreclosure we can file your case within hours if necessary so do not let one more garnishment come out of your paycheck. Call today 801-485-3717