When you file Chapter 7 you are not required to make repayments. Your debts are completely wiped out. You are allowed to keep much of your property with Chapter 7. This is called an exemption. Exemptions are made for types of items that you need for your survival, like food, clothing, shelter, and transportation. These exemptions do vary case to case and you should have that conversation with an attorney like Ted Machi to understand what you will keep. On average this process can take from three to five months.

There are some debts that you cannot shed in a Chapter 7 Bankruptcy and those debts are called non-dischargeable. You should be aware of them and when speaking with your attorney double check the circumstances for each one. Non-dischargeable debt can include most taxes, child support, court ordered fines and penalties, student loans and more.

After you successfully file, you will be free of all creditor calls. They must comply with bankruptcy law and stop calling. Any lawsuits that are pending will halt. Once you have a fresh start it’s important to protect your new credit record and build good credit.

Ted Machi can help you understand where you may qualify, either Chapter 7 or 13.  We can help you to understand which direction to take by explaining the possible outcomes based upon our experience filing thousands of bankruptcies. If you have stable future monthly income, it may make more sense to go ahead with the Chapter 13 and arrange payments to keep some of your assets. This also may depend on the market value of your assets. Homes are usually the main asset in a bankruptcy, gages on your home, and have a solid income, Chapter 13 may be something better suited for your needs. With a free consultation we can determine which direction is best for you.

While Chapter 7 is a quicker fresh start, Chapter 13 is a longer process.  The Court sets your payments, you are required to make those payments. Over the term of the Chapter 13, there will be hearings that are very quick and informational.

When you create a Chapter 13 filing, you will divide your items into two areas; secured and unsecured. This is a way for the court to determine your case. Examples of Unsecured debt are credit cards and medical bills, payday loans, re-possessed vehicles, collections agencies, etc. Secured debt includes homes, cars, time shares, boats, etc. These are physical items that can be liquidated for a market value.

If you are facing a potential foreclosure or have received an “Notice of Default and Intent to Accelerate,”  you should act quickly.  It is much easier to stop a foreclosure before it occurs than to get a remedy after the foreclosure is complete.  If the property is sold to a third party there is little chance that the borrower will get the property back.  If you are facing foreclosure, it is important to contact a wrongful foreclosure attorney as soon as possible.

Williams says, “We really see people just doing Herculean efforts: living in the basement of mom’s house, selling prized possessions on eBay. People will do absolutely everything.”

You may have already past the time to file bankruptcy. Do you answer any of these questions with a “yes?”

• Do you have a high amount of unsecured debt, including credit cards?
• Are you unable to reduce your total debt most months?
• Is your property going to be foreclosed on?
• Is the repo man looking for your car?
• Are your creditors harassing you?
• Do you owe medical bills?
• Do you have any judgments against you?
• Are you having IRS problems?

The U.S. Courts provide a series of Bankruptcy Videos that explain the process of filing bankruptcy. If you are worried about your financial situation, consider Ted Machi & Associates, P.C.’s FREE On-line Bankruptcy Evaluation.

Are you avoiding the phone because you know it may be collectors looking for money you don’t have. Filing bankruptcy in Texas can stop the unwanted attention and allow you to feel comfortable in your own home again. One of the advantages to filing bankruptcy is by law the harassing letters and phone calls have to stop.

Our bankruptcy attorneys have extensive knowledge not only of bankruptcy case law but of the bankruptcy courts and bankruptcy trustees in North Texas. As a result, we can give you a good idea of the outcome of your case before you file bankruptcy, and help you decide if bankruptcy is right for you.

Finding a Dallas Bankruptcy lawyer is easy; call the bankruptcy attorneys and staff at Ted Machi and Associates, P.C. to evaluate your situation.

We will continue to provide Dallas bankruptcy information here.