BANKRUPTCY

Thinking About Bankruptcy?

It's an important decision. Get the facts.

In this economy, more and more people find themselves with more debt than they can manage. Even people who have tried refinancing their mortgages and working with their credit card companies sometimes just can't keep up with the bills. Bankruptcy can help give them a fresh start. A well managed bankruptcy can be the first step toward financial stability. Francisco Law Firm can help you understand your consumer bankruptcy options. Get a free bankruptcy consultation and learn whether bankruptcy is right for you.

Did You Know?

You do not have to give up all your property when you file for bankruptcy.

Bankruptcy can help you stop a foreclosure on your home.

You can still buy a car or home after you file for bankruptcy.

Different Types of Bankruptcy

Chapter 7

This is what most people think of when they talk about bankruptcy.

Chapter 13

This is a "reorganization" used by people to come up with a way to pay all or part of their debts over a period of time based on their income.

Chapter 12

This is available to family farmers and fishermen.

Chapter 11

This is a "reorganization" used that is generally used by businesses.

What Can Bankruptcy Do

What Can Bankruptcy Do?

Depending on the facts involved in your case, bankruptcy may help you do the following:

• Discharge your debts: eliminate your legal obligation to pay most or even all of your debts.
• Stop a foreclosure on your home, so you can have some time to make up missed payments.
• Stop a creditor from repossessing your car. It could even get your repossessed property returned to you.
• Stop creditors from trying to collect a debt, including stopping wage garnishment and harassment.
• Prevent the termination of your utilities or even get your utilities turned back on.
• Challenge a creditor who has committed fraud or is trying to collect more than you really owe.

What Can't Bankruptcy Do?

Do some bankruptcy promises sound too good to be true? Bankruptcy can't fix everything, and it isn't right for everyone. Usually bankruptcy cannot do the following:

• Get rid of the rights of a secured creditor. That's someone who has collateral for your loan, like a mortgagee. It can force the creditor to take payments over time or give you the option to return the property and stop paying on the debt.
• Discharge certain debts that get special treatment in bankruptcy law: child support, alimony, court restitution orders, criminal fines, and most taxes and student loans.
• Stop a debtor from collecting a debt from a cosigner.
• Discharge new debts incurred after filing for bankruptcy.

Frequently Asked Questions

What Is Bankruptcy?

Bankruptcy is a legal way for people who cannot pay their bills to get a fresh start. During the proceeding, creditors must stop trying to collect debts from you.

The Francisco Law Firm helps people file personal bankruptcy under Chapter 7 and Chapter 13, which is probably what you're looking for unless you are a business.

What Can Bankruptcy Do?

Depending on the facts involved in your case, bankruptcy may help you do the following:

• Discharge your debts: eliminate your legal obligation to pay most or even all of your debts.
• Stop a foreclosure on your home, so you can have some time to make up missed payments.
• Stop a creditor from repossessing your car. It could even get your repossessed property returned to you.
• Stop creditors from trying to collect a debt, including stopping wage garnishment and harassment.
• Prevent the termination of your utilities or even get your utilities turned back on.
• Challenge a creditor who has committed fraud or is trying to collect more than you really owe.

How Much Does Bankruptcy Cost?

Generally, you should expect to pay attorney fees and filing fees. Filing fees differ based on the kind of bankruptcy filed:

• Chapter 7 filing fees costs $299.00.
• Chapter 13 filing fees cost $274.00.

The court may allow you to pay the filing fees in installments if you cannot pay them at once. In a chapter 7 case, if you can't pay in installments and you income is under 150% of the official poverty guidelines, you can ask the court to waive your filing fee.