Bankruptcy Guidance
Understand what bankruptcy could—and could not—change.
Bankruptcy can be a powerful legal tool, but the right chapter and timing depend on income, assets, debts, prior filings and personal goals.
Two Common Paths
Chapter 7 and Chapter 13 serve different purposes.
Neither chapter is automatically better. Eligibility, risk and long-term goals should be reviewed before a filing decision.
Chapter 7
Often used to seek a discharge of qualifying unsecured debt. Income, property exemptions and prior filings require careful review.
Learn about Chapter 7 →Chapter 13
Uses a court-supervised repayment plan and may be considered when protecting property or addressing arrears is a major goal.
Learn about Chapter 13 →What Bankruptcy May Address
The filing affects different debts in different ways.
Many people call because collection pressure is immediate. The attorney also needs to consider the debts that may survive a case and any property that could be exposed.
- Credit-card and medical debt that may qualify for discharge
- Collection lawsuits and certain garnishments
- Mortgage or vehicle arrears that may require a plan
- Co-signed obligations and jointly owned property
- Tax, student-loan, support and other debts that may receive special treatment
Before Filing
A careful review can prevent avoidable surprises.
Do not transfer property, repay relatives, run up credit balances or make other major financial changes because you assume a bankruptcy is coming.
- Identify urgent deadlinesForeclosure sales, garnishments and lawsuits may require immediate attention.
- Review the full financial pictureIncome, property, debts and recent transactions can affect the available strategy.
- Compare the realistic alternativesA filing should be considered alongside other lawful options and the consequences of doing nothing.
Common Questions
Bankruptcy questions
These are general answers. Your rights and options depend on your specific facts and current law.
Does bankruptcy eliminate every debt?
No. Some debts may be nondischargeable or require special analysis. The answer depends on the debt and facts.
Will I lose everything I own?
Not necessarily. Exemptions and the type and value of property matter. Do not assume property is protected without a case-specific review.
Can bankruptcy stop a foreclosure or garnishment?
A filing may trigger an automatic stay, but timing, prior cases and exceptions can matter. Seek advice before relying on it.
Should I stop paying bills before a consultation?
Do not make that decision based on general website information. Ask how each payment relates to housing, transportation and the possible case.
Get a case-specific bankruptcy review.
Bring your questions, notices and a basic financial picture to a free consultation.