Chapter 7 Bankruptcy FAQ
Bankruptcy Lawyer in Beaumont & Houston
With over 40 years of combined experience in
bankruptcy law, our team at the Maida Law Firm, P.C. understands the confusing nature
of this area of law. If you are considering filing for bankruptcy, it
is our goal to not only help you find a successful resolution to your
case, but to also help you be informed regarding the different aspects
of bankruptcy law. With a board-certified attorney on our team, you will
be able to have peace of mind knowing that your case is in good hands
should you choose to work with our team.
You can contact a Beaumont bankruptcy attorney from our firm at any time
to schedule an appointment or you can look through the frequently asked
questions below to get more information on this important subject. We
have offices in both Houston and Beaumont.
Frequently Asked Questions
What makes Chapter 7 bankruptcy different?
Depending on your unique situation, there are different types of bankruptcy
you can file under. One of the key things to remember in a bankruptcy
case is that certain property may have to be sold in order to repay the
debt. A trustee may be made responsible for categorizing the debtor's
property and then selling it to discharge the debt. The stipulations for
qualifying to file for Chapter 7 bankruptcy include an income of under
$39,673 or a family of four's income that is less than $63,859. If
you do not think you qualify for Chapter 7 bankruptcy, you can always
contact an attorney to see if there are any other options available to you.
What possessions could you lose during bankruptcy?
One important question which people will have concerns about when determining
whether or not to file for bankruptcy is what possessions they could lose.
The goal of filing for bankruptcy is not to be in a worse situation than
you were before, so losing your home, vehicles, or possessions is definitely
something to be avoided. If you file for Chapter 7 bankruptcy, part of
the deal is that you could lose your nonexempt property. There are some
possessions, however, that fall into the category of exempt property,
and this will be protected. This exemption varies from state to state,
so it is important to discuss your case with a professional before deciding
whether or not to file.
How does Chapter 7 bankruptcy affect lawsuits and taxes?
When it comes to losing your property during Chapter 7 bankruptcy, could
you lose a settlement or verdict from a lawsuit? Could you lose a refund
you obtained through taxes? The answer to this is that any property could
be lost in Chapter 7 bankruptcy if it is considered to be non-exempt property.
Usually, if the law decides that the property is necessary for you to
survive day-to-day, it will be considered exempt property. Therefore,
whether or not lawsuits or tax refunds will be able to be kept will differ
on a case by case basis.
Could Chapter 7 bankruptcy help avoid foreclosure?
More and more people in Texas are facing threats of foreclosure. One option
that people may considering in order to avoid losing their home is to
file for bankruptcy. Is this a good alternative to foreclosure? One benefit
of filing for bankruptcy is that creditors are required to immediately
stop attempting to collect payments. Known as the automatic stay, it puts
a hold on collecting payments. Once the bankruptcy proceedings have ended,
however, the individual will not be able to keep their home without paying
for it or making payments on it.
How does a reaffirmation agreement work?
A reaffirmation agreement is an agreement that can be come to between
the debtor and the creditor. Rather than discharge a debt and lose the
particular piece of property, the debtor could instead keep the property
and work out a schedule or repaying the debt. This could be beneficial
to the debtor because it allows them to keep their possession and is beneficial
to the creditor because they get their money back. It is important to
remember, however, that if the debtor fails to make payments on the property,
the creditor has the right to repossess it. This is not an informal, verbal
agreement, but must be filed with the court and entered into before the
debt has been discharged. The debtor may also be able to keep a certain
possession by making payments without entering into a formal reaffirmation
agreement. This has to be completely voluntary and usually occurs between
friends and family.
More questions? Contact our Houston bankruptcy attorneys today!
If you have more questions regarding
Chapter 7 bankruptcy in Beaumont or Houston, please do not hesitate to get in touch with our
team at the Maida Law Firm, P.C. We not only have years of combined experience
on our side, but we offer a free case evaluation for prospective clients.
You can let us know the details of your case quickly and easily and we
will let you know exactly how we could help you. If you are considering
filing for Chapter 7 bankruptcy, we could walk with you through every
stage of the process and be there to answer questions and address concerns.
Our main priority is that you are able to get back on your feet and get
your finances under control. Please,
contact a Beaumont or Houston bankruptcy lawyer from our office today to get started. Do not wait to get the help you need!