Can I keep some of my debts out of the bankruptcy? All debts must be included in bankruptcy but the treatment of the debts may differ depending on such factors as what type of bankruptcy is filed, how the debts are classified and the intentions of the debtor or debtors. Will I be able to keep my house and cars? Yes, if that is your intention and so long as you have the economic ability to pay the debts either directly or through a plan of reorganization. How long will the bankruptcy be on my credit report? Up to 10 years though in the majority of cases, it will be removed after 7 years. Will I be able to qualify for financing in the future? The discharge of debts helps a person’s income to debt ratio on credit reports because all discharge debt is reported on credit reports as a zero balance. The qualification for future financing will depend on a number of criteria. Will I have to sell all of my belongings? No. In most cases you will be able to keep your property though if liens encumber the property or if the property is non-exempt under applicable exemption laws, then to keep the property the liens will have to be satisfied or payments made equal to the value of non-exempt property. What will the bankruptcy cost? Filing fees are set by the bankruptcy court system and attorney fees will be based on what type of bankruptcy case it is and whether the attorney fee is paid up front or in installments. Bankruptcy attorneys can provide price lists and payment terms upon request. Can creditors garnish my wages? Generally, the answer is “no” in Texas except for income taxes, child support or student loan claims. How long will the bankruptcy take? Chapter 7 bankruptcies are competed usually in less than 4 months while chapter 13 bankruptcies last from 3 to 5 years. Will bankruptcy make all my debts go away? Student loans are not dischargeable in bankruptcy unless there is a court finding of hardship. This must be done through a separate legal proceeding in bankruptcy court called an adversary proceeding. What effect does bankruptcy have on student loans? All debts must be included in bankruptcy but the treatment of the debts may differ depending on such factors as what type of bankruptcy is filed, how the debts are classified and the intentions of the debtor or debtors. Will my employer or my friends or family find out I filed bankruptcy? While bankruptcy filings are public record, unless the employer, friends or family are subscribers to a publication that publishes such information, such information is not readily accessible to the public. How do I know if I qualify for bankruptcy? To determine bankruptcy qualification, a review of your income, debts, assets and debts will need to be done by a bankruptcy professional. Are there options for dealing with my debts other than bankruptcy? Yes, there other options such as debt management plans, debt settlement plans for dealing with debts. Such options are generally part of the review done by a bankruptcy professional as part of determining an individuals qualification for bankruptcy. I have been through a bankruptcy before so can I file again? Yes, depending on a number of factors such as whether you received a discharge in the prior case, what type of prior bankruptcy case you filed and when you filed the prior case. What is the Means Test? The Means Test is a formula created by Congress as part of the current bankruptcy laws to determine whether an individual is qualified for chapter 7 bankruptcy relief or to determine the minimum amount of dividend that must be paid to unsecured creditors through a chapter 13 case. Can I stop a foreclosure or repossession without filing bankruptcy? Short of reaching a new contractual agreement with the creditor or filing a lawsuit against the creditor and obtaining a restraining order stopping the foreclosure or repossession, the answer is “no”. I recently ran up my credit cards - can I file bankruptcy now? Debt incurred a short time prior to filing bankruptcy can pose a problem in obtaining a discharge of such debt, however, whether there will likely be a problem will depend on the amount of debt incurred and within what actual time frame prior to filing bankruptcy the debt was incurred, whether the charges were made and can be proved were for necessary family living expenses and whether any payments were made on the account since those debts were incurred. Can I discharge taxes? Whether taxes can be discharged or not will depend on a number of factors such as the nature of the taxes, when or if tax returns were filed, and when the taxes were assessed. What does reaffirm debts mean? Reaffirmation of debt in bankruptcy consists of a debtor and creditor agreeing to the payment of debt under terms stated in a written agreement signed by the debtor and the creditor and approved by the bankruptcy court. Reaffirmed debts are not discharged in bankruptcy. How will bankruptcy affect my credit? A bankruptcy discharge will generally have some negative effect on a person’s credit rating and ability to qualify for new debt for some period of time, though a bankruptcy discharge will also have a positive effect on credit by the discharge of debts improves a debtor’s income to debt ratio which is a factor in qualification for new debt.