Bankruptcy FAQs

Dealing with financial troubles is an overwhelming and isolating experience. While many people see bankruptcy as a way of admitting defeat, it can actually be used as a tool to help better you and your finances. As an experienced bankruptcy attorney, Kim Welch is prepared to help you better understand your finances and get you to a stress-free financial place. From determining if you qualify for bankruptcy, to creating a plan to eliminate any outstanding debts, the Kim Welch Law team will help you throughout the entire bankruptcy process. To help you better understand what happens when someone claims bankruptcy, our team has answered some of the most common bankruptcy questions we receive.

What Is Bankruptcy?
Bankruptcy involves a person or business that is unable to pay off outstanding debts. The bankruptcy process forgives debts while evaluating assets and paying creditors when possible.
Is There A Way To Reduce The Amount Of Calls I Receive From Debt Collectors?
If you owe money to creditors, you are probably receiving a relentless amount of phone calls. What you may not know is that while debt collectors are allowed to call you, it is illegal for them to harass you in any way. Filing for bankruptcy issues an automatic stay, which requires creditors to stop contacting you. If you feel your rights are being violated and debt collectors have crossed a line, please call Kim Welch Law immediately.
If I Claim Bankruptcy, Will I Be Forced To Relinquish All Of My Assets?
Only certain types of bankruptcies have the possibility of you being required to give up your assets. Our team will work closely with you to determine if your assets are in danger of being repossessed. If they are in danger, we will determine if any of your assets are eligible for bankruptcy exemptions.
What Are The Different Types Of Bankruptcies?
There are six types of bankruptcies: chapter 7, chapter 9, chapter 11, chapter 12, chapter 13, and chapter 15.
How Do I Know Which Type Of Bankruptcy Is Right For My Situation?
The two most common types of bankruptcy cases are chapter 7 and chapter 13. Chapter 7 involves liquidating nonexempt assets to pay off debts, while chapter 13 involves creating a payment plan, usually over the course of three to five years. Kim Welch Law will assess your financial situation to determine which type of bankruptcy will be most beneficial for you. Determining which chapter is best for you depends on your debts, assets, and financial goals.
Will Filing For Bankruptcy Ruin My Credit Forever?
No, filing for bankruptcy will not ruin your credit indefinitely. Chapter 7 and chapter 13 bankruptcies will only stay on your credit report for a certain amount of time: 10 years and 7 years, respectively. Plus, practicing good credit habits will help your credit recover more quickly.
Can I Keep Some Of My Credit Cards And Still File For Bankruptcy?
When filing for bankruptcy, you cannot choose which debts you want included in your case. Most likely, you will be required to give up all of your credit cards when filing for bankruptcy.
If I File For Bankruptcy, Does That Mean My Spouse Has To File With Me?
If the debts are only in your name, then it is possible for only you to file for bankruptcy. If your spouse does not file, however, he/she will still be required to provide proof of income.
If I Previously Filed For Bankruptcy, Can I File Again?
Yes, you can file for bankruptcy more than once. However, it is important to know that there are certain time limits in place specified in the discharge you receive from a previous bankruptcy filing. If you have filed for bankruptcy before, make sure to share all details with our team so we can make sure your new bankruptcy case follows any time constraints.
Do I Have To Have A Certain Amount Of Debt To Be Eligible For Bankruptcy?
You do not have to have a certain amount of debt to be eligible for bankruptcy.

Hire Kim Welch Law To Handle Your Bankruptcy Case

Whether your finances have gotten out of hand or your debts are piling up and you feel completely lost, Kim Welch Law is here to help you take back control of your financial situation. With our knowledge and experience, we will be able to figure out if bankruptcy is right for you, which chapter is best for your situation, and create a plan to help build up your credit. If you have any questions about bankruptcy or would like to schedule a free consultation, please contact our office today!

Let’s Work Together