Colorado Springs Bankruptcy

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What Different Types of Bankruptcy Should I Consider?

There are two basic types of cases:

Chapter 7 is known as “straight” bankruptcy, or liquidation. It requires you to give up property which is valued higher than the amount allowed for “exemptions,” so the Trustee can sell the property to pay your creditors. Usually, just about all of your property will be exempt and you won’t lose anything.

Chapter 13 is called a "wage earner plan".   It requires you to file a plan to pay at least part of your debts from your current income.

Either type of case may be filed by you as an individual or by you and your spouse jointly.

If your income is above the median income for a household the size of your household in Colorado, you may not be able to file a Chapter 7 case.  If you have a certain amount of money left over after paying your monthly household expenses, the bankruptcy court could decide that you should not be able to file a chapter 7 case, in the absence of special circumstances.

Chapter 7 (Straight Bankruptcy)

In a Chapter 7 case, you file a petition requesting the bankruptcy court to discharge your debts. The basic idea is to discharge (wipe out) your debts.  In exchange you agree to give up your non-exempt property.  You get to keep all of your exempt property.  In most cases, all of your property will be exempt.  A chapter 7 case will not require you to pay any of your wages to the Trustee or to any of your creditors.

If you need to keep your property like a home or a car and are behind in your payments, a chapter 7 case might not be the best choice for you. A chapter 7 bankruptcy does not eliminate the lenders' rights to take your property to cover your debt. But, if you are not behind on your mortgage or car loan, you will be able to continue paying them during and after the bankruptcy in order to keep your house and car.

Chapter 13 (Repayment Plan)

In a Chapter 13 we prepare and file a “plan” showing how you will pay off some of your past-due and current debts over the next 36 to 60 months. The most important thing about a chapter 13 case is that it allows you to keep valuable property--especially your home and car--which you might otherwise lose, as long as you make the payments. In most cases, those payments will be as much as the regular monthly payments on your mortgage or car loan, plus some extra amount to get caught up on the payments you missed.

You should consider filing a chapter 13 if you:

·        Own your own home and are in danger of a foreclosure because of money problems;

·        Are behind on your payments, but can catch up if you are given some time;

·        Have valuable non-exempt property, and can afford to pay your creditors from your monthly income.

·        You will need to have enough monthly income to pay for your normal household necessities and keep up with the required plan payments each month.

What is Bankruptcy?

What Can Bankruptcy Do for Me? 

What Bankruptcy Can Not Do

What Different Types of Bankruptcy Should I Consider? 

What Will Happen to My Home and Car If I File Bankruptcy?

Can I Own Anything After Bankruptcy?

Will Bankruptcy Wipe Out All My Debts?

Will I Have to Go to Court?

Will Bankruptcy Affect My Credit?

What Else Should I Know?

What is the Bankruptcy Code?

Is the Bankruptcy Court a State or Federal Court? 

Who can file bankruptcy?

Do I need an attorney to file for bankruptcy?

What are the different "Chapters" in bankruptcy? 

What is a Joint Bankruptcy Petition? 

Does my spouse have to file if I file?

What is a Bankruptcy Trustee? 

What documents are needed to file bankruptcy? 

How much is the Court filing fee?

What about credit counseling and personal financial management instruction-what is the difference between the two? 

What is the “Means Test”? 

How can I change or correct information in the petition, statements, and schedules I have filed? 

What is a Meeting of Creditors? What happens there?

I don't live in the Denver Metropolitan area. Where will my Creditors Meeting be held?

How do I know if a debt is secured, unsecured, priority, or administrative? 

What are exemptions? 

What happens after I file my bankruptcy case? 

What is a discharge? 

What is the Difference between a Denial of Discharge and a debt being nondischargeable? 

I attended a Section 341 Meeting of Creditors before my case converted to another chapter. Do I have to attend another meeting? 

What if my case is dismissed? 

My case was dismissed because I failed to pay all of the installments of the filing fee. Can I file a new bankruptcy case? If so, can I pay the new filing fee in installments? 

What is a Reaffirmation Agreement? 

What is a Motion for Relief from Stay?

What can I do if a creditor keeps trying to collect money after I have filed a bankruptcy? 

What services can a "Bankruptcy Petition Preparer" provide? 

Will the Judge advise me of my options during the bankruptcy case? 

May I speak directly with a Bankruptcy Judge?

What is an Adversary Proceeding?

If my case gets dismissed, or I change my mind about filing, can I get my filing fee refunded? 

When am I under bankruptcy protection?

Who has access to my bankruptcy file? 

Will all my creditors be notified of my discharge? 

When is my case complete? 

How soon after I get my discharge can I file for bankruptcy again? 

Will the U.S. Bankruptcy Court provide and pay for an interpreter for me? 

What if a creditor tries to collect money after I get a discharge? 

How can I get another copy of my discharge? 

How many years will a bankruptcy show on my credit report? 

How do I get errors removed from my credit report?

Important Disclosure - READ THIS

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I welcome your questions and will be happy to provide you with a free initial consultation.  Just give me a call or send a fax or e-mail:

Robert J. Doig
Attorney at Law

2985 Broadmoor Valley Road, Suite 4
Colorado Springs, CO 80906
719 227-8787  Office
719 325-8355  Fax

We are a debt relief agency. We help people file for relief under the Bankruptcy Code.