5 Things You Shouldn't Forget To Ask When You File Bankruptcy By: Jessica Bennet
1.If you have more than enough income and asset limit, you may not be allowed to file Chapter 7. In such a case, the court may ask you to file Chapter 13 which is basically a repayment plan developed in order to help you pay off debt within a period of 3-5 years.
2.It's essential to find out those debts which cannot be canceled or wiped out through bankruptcy filing.
Credit cards and personal loans are debts, which can be discharged through bankruptcy filings.
3.Bankruptcy filing won't affect your spouse unless his/her name is on the debt account. If you've filed Chapter 7, your spouse's credit will get tarnished along with yours. But Chapter 13 will protect your spouse or cosigner as it is a sort of repayment plan that allows you to reorganize your debts.
4.Chapter 13 bankruptcy filing will help you to keep your home or car as you're making payments under a court-approved payment plan.
5.Retirement plans such as 401k, 403b etc and pension are protected under the Federal law. As such, they won't be affected by bankruptcy filings. However, IRAs and Keogh plans may not be entirely protected, but they do have exemptions (for example: creditors cannot take up to the first $1 million of your funds in an IRA) defined under the bankruptcy laws.
Bankruptcy filings can help you get out of debt or restructure payments depending upon whether you qualify for Chapter 7 or Chapter 13. However, just make sure you’re quite comfortable with disclosing your financial details to your creditors as well as the bankruptcy court.
Jessica Bennet is an experienced financial writer associated with Mortgage Fit Community. She has been guiding the Community through her writings on bankruptcy filing.bankruptcy filing
2.It's essential to find out those debts which cannot be canceled or wiped out through bankruptcy filing.
Credit cards and personal loans are debts, which can be discharged through bankruptcy filings.
3.Bankruptcy filing won't affect your spouse unless his/her name is on the debt account. If you've filed Chapter 7, your spouse's credit will get tarnished along with yours. But Chapter 13 will protect your spouse or cosigner as it is a sort of repayment plan that allows you to reorganize your debts.
4.Chapter 13 bankruptcy filing will help you to keep your home or car as you're making payments under a court-approved payment plan.
5.Retirement plans such as 401k, 403b etc and pension are protected under the Federal law. As such, they won't be affected by bankruptcy filings. However, IRAs and Keogh plans may not be entirely protected, but they do have exemptions (for example: creditors cannot take up to the first $1 million of your funds in an IRA) defined under the bankruptcy laws.
Bankruptcy filings can help you get out of debt or restructure payments depending upon whether you qualify for Chapter 7 or Chapter 13. However, just make sure you’re quite comfortable with disclosing your financial details to your creditors as well as the bankruptcy court.
Jessica Bennet is an experienced financial writer associated with Mortgage Fit Community. She has been guiding the Community through her writings on bankruptcy filing.bankruptcy filing
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