If you have debts that you can’t repay on your own, are behind on your mortgage payments and in danger of foreclosure, or are being harassed by bill collectors, bankruptcy could be the best option for you. It could provide relief from your debts and give you a second chance at a successful financial future. We know that for some, the stress of financial hardships and the idea of filing a bankruptcy case can feel overwhelming. If you find yourself in this position, know that you are not alone. 

Almost all states have “exemptions” that allow their residents who file a bankruptcy case to protect certain personal property and some amount of equity in their home. The Bankruptcy code and related state laws recognize that some of your assets are essential to life and that you have worked hard to obtain them. Exemptions allow you to exempt, or protect, certain property from your creditors’ collection efforts.

Have you ever gone to use your debit card at the grocery store, gas station, etc., but it’s declined even though you were recently paid? Does your bank then tell you that your account has been overdrawn due to a creditor garnishing your bank account? If so, we are here to help you! Bank account and wage garnishments are actually far more common than you might think. Many of our clients who face this type of situation think that their money is lost. However, if you act fast enough, you might be able to recover some, if not all of those funds. There are several ways to take action against your bank account or wages being garnished such as a Chapter 7 bankruptcy, a Chapter 13 bankruptcy, settlement, or even fighting the case. There are benefits and drawbacks to all options, so you may want to consider reviewing all options with an attorney before moving forward.

From: Consumer Bankruptcy Law and Practice, National Consumer Law Center

Answers to Common Bankruptcy Questions

A decision to file for bankruptcy should be made only after determining that bankruptcy is the best way to deal with your financial problems. This FAQ cannot explain every aspect of the bankruptcy process. If you still have questions after reading it you should consult with an attorney familiar with bankruptcy.