Frequently Asked Questions
Can I Own Anything after a Bankruptcy?
Yes, you can keep your exempt property, and your home and vehicles if the debts are reaffirmed,
and you own no equity above your state's limits in the secured items. If you receive an inheritance, divorce property settlement, or life insurance benefit 180 days after your bankruptcy filing, that money or property has to be turned over to your creditors.
Will Bankruptcy Wipe Out My Debts?
Yes, with some exceptions. Those exemptions are specifically listed under the Bankruptcy Code, but include: alimony, child support, certain taxes, fines, and student loans. Lenders can also claim that a debt is nondischargeable under Section 523 of the Bankruptcy Code.
How Will Bankruptcy Affect My Credit?
The fact that you are considering bankruptcy is already a clear message your credit has been effected. A bankruptcy will stay in your credit report for 10 years, but the filing of a bankruptcy will cause those creditors on your credit report that have been discharged to show a zero balance owed after your discharge. This should help you improve your credit score.
Can I Avoid Listing a Creditor or Credit Card?
You are required after the Bankruptcy Code to disclose all assets and all debts. You cannot pick and choose who you list. You have to list all your bills and debts you owe.
Can I Rebuild My Credit after Bankruptcy?
Yes, in the past it was difficult to rebuild your credit, but after a bankruptcy if you watch how you use your credit, and pay your bills on time, you can rebuild your credit. The filing of a bankruptcy does not prevent you from getting credit in the future.
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