FAQ & Resources

A Chapter 7 Bankruptcy is a straight liquidation in which all or most unsecured debts are discharged.  Chapter 13 reorganization is a repayment plan that focuses on stopping creditor actions on secured debts, such as home foreclosures, and allowing you to consolidate other bills to create an affordable monthly budget

If you are current on your mortgage payments and your home is not worth considerably more than what you owe on your mortgage, you can normally file a Chapter 7 Bankruptcy and keep your home. If you have over the amount of equity in your home that the law allows you to keep or are behind in your mortgage payments, filing a Chapter 7 may jeopardize your home ownership.

The law is very generous in allowing you to exempt your home equity, automobiles, household goods and furnishings, clothing, jewelry, bank accounts, stocks and bonds, pension and 401k plans, etc.

If you are married, the law recognizes you as one entity and you can file either together as a couple (jointly) or either spouse (husband or wife) can file on their own. The law does not require that both file.