Frequently Asked Questions About Bankruptcy

New Hampshire Bankruptcy Attorney Provides Answers

Bankruptcy is often the best option that individuals have to get rid of most, if not all, of their debt. When you need to restart your financial life, you may be pursuing either Chapter 7 or Chapter 13 bankruptcy. You may also have many questions regarding the steps involved in this legal process. As a knowledgeable and experienced New Hampshire bankruptcy lawyer, I can answer my clients' questions pertaining to any aspect of bankruptcy. To get you started, I have provided a number of frequently asked questions and answers regarding bankruptcy below.

Under which chapter of the United States Bankruptcy Code should I file?
The answer to this question will depend on your specific situation and will require a close evaluation of your situation. It will also require that you take the Chapter 7 means test. Chapter 7 is often the most popular selection for dealing with unsecured debt and starting over financially. Chapter 13 can help you avoid foreclosure and can protect your assets. It requires that you make reasonable monthly payments for between three and five years.

Will all of my debts be eliminated after successfully completing bankruptcy?
Most of your debts can be eliminated when you file for bankruptcy, but specific types of debt cannot be discharged. You may not be able to discharge specific taxes, student loans, child support, or spousal support. Debts that cannot be discharged will need to be repaid. During a meeting, I can help you identify which debts are not dischargeable.

After filing for bankruptcy, will I be able to get a credit card?
You have several options when trying to obtain a credit card after filing for bankruptcy. You can use a bank or debit card to perform some activities for which you would usually use a credit card. There is no law that prohibits you from obtaining a credit card; it is simply a matter of whether the provider will issue you the card. Bankruptcy will remain on your credit report for 10 years, and therefore, credit providers will likely take your bankruptcy into consideration when you apply.

Can I get rid of a second or third mortgage with bankruptcy?
Recent trends show a great decrease in the value of homes. In some situations, a homeowner may have a first mortgage that is higher than the value of the home. If the homeowner owes more on the first mortgage than the value of the home, then he or she may also have payments owed on a second or even third mortgage. If this is your situation, you can file for Chapter 13 bankruptcy. You may be able to eliminate your second or third mortgage.

What is a discharge in bankruptcy?
Debts that can be discharged will depend on the chapter you file under as well as your specific situation. Generally, more debts can be discharged in a Chapter 7 bankruptcy than in a Chapter 13 bankruptcy. If you have a large amount of debt left after completing the payment plan in a Chapter 13 bankruptcy, the remainder will be discharged.

Start Again with Bankruptcy

If you have any more questions that have not been answered above or you would like to discuss your specific case in person, my firm can help! As an approachable and personable legal representative, I can help you feel comfortable with the legal representation I provide. I would be happy to meet with you for a free initial consultation that can take place either in person or over the phone. Do not wait to get the answers to your important bankruptcy questions.