_ Below are some frequently asked questions and answers about bankruptcy.
If I am broke, do I have to declare bankruptcy?
No. Bankruptcy is voluntary, a
process you choose in order to calm creditors and collections agencies
and give yourself a fresh financial start.
Do my creditors have to leave me alone if I declare bankruptcy?
Yes, they do.With
very few exceptions, filing for bankruptcy creates what is known as an
automatic stay, meaning that creditors may no longer harass you in an
attempt to collect on your debts, and may no longer pursue
lawsuits—either begin new suits or continue existing suits—against you
to collect money.
Who will know if I declare bankruptcy?
Credit bureaus keep a record
of your bankruptcy for up to ten years, and bankruptcy filings—like all
court documents—belong to the public record.But in practice, no one but those you choose to tell needs to know that you declared bankruptcy.
Can my boss fire me for declaring bankruptcy?
No. Federal law prohibits discrimination based on bankruptcy status.Some
potential employers may look at your credit report as part of a
background check if required as part of the job application, but they
may not discriminate against you based on a prior bankruptcy
What assets do I get to keep when filing for bankruptcy?
you decide to declare Chapter 13 bankruptcy and work with a Chapter 13
law firm in Albuquerque like Dan A. Ribble, LLC, you should be able to
keep all of your assets and use your current income to pay down or pay
off your debts.If you do not
have enough regular income, work with an Albuquerque Chapter 7
bankruptcy attorney to determine exactly what you may keepBut as a general rule, all of your non-exempt assets will be sold to pay off your debt in a Chapter 7 bankruptcy.
What do I not get to keep when filing for bankruptcy?
Again, it depends.If
you file Chapter 13 bankruptcy, all or almost all of your disposable
income every month for three to five years will go to pay your debts.If you file Chapter 7 bankruptcy, all of your non-exempt assets will be sold to pay off your debts.For
example, you will not get to keep your house if you have more than
$30,000 of equity in it, your timeshare in Mexico, or your collection of
antique pinball machines.
Need more answers?Work with a savvy and dedicated Albuquerque bankruptcy lawyer
If you face bankruptcy in New
Mexico, consult with the Dan A. Ribble, LLC bankruptcy law firm in
Albuquerque about the advantages, costs, and consequences of filing for
bankruptcy.Dan has decades of
experience counseling and advocating for debtors, and combines a
personable, sympathetic style with real knowledge about federal and New
Mexico bankruptcy law and dedication to his clients.Contact him today to arrange a free initial consultation.