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Hoorfar Law: What We Do - General Bankruptcy

General Bankruptcy

How We Can Help

Whether you are facing foreclosure, repossessions, lawsuits, or collection calls, bankruptcy may be the answer. Our law office can help you file either a Chapter 7 bankruptcy or a Chapter 13 bankruptcy in either Kansas, Missouri, or Oklahoma.

Chapter 7 Basics

A Chapter 7 bankruptcy is for an individual who satisfies the means test. A Chapter 7 bankruptcy is not for partnerships or corporations. The process generally takes about 4-6 months from filing the petition to receiving a discharge.

Chapter 7 bankruptcies are typically filed by people with unmanageable amounts of consumer debts, such as credit card debt, medical bills, certain taxes and student loans, and payday loans. It can also be used to get rid of a house or vehicle that the taxpayer can no longer afford and avoid a deficiency judgment.

Chapter 13 Basics

A Chapter 13 bankruptcy is for individuals who are trying to get back on their feet and set up a payment plan for their existing debt. A Chapter 13 bankruptcy is typically filed to stop a foreclosure, stop a repossession, pay back taxes, or pay back-owed child support. A Chapter 13 bankruptcy can take as short as 36 months and last as long as 60 months.

Unlike a Chapter 7 bankruptcy, a Chapter 13 bankruptcy debtor will make monthly payments to the bankruptcy court in order to catch up on their past due mortgage payments, income taxes, child support, or back-owed vehicle payments. These monthly payments are then used by the court to pay the debtor's current payment obligations as well as past due amounts. At the end of the bankruptcy, the debtor will receive a discharge for some debts and should be current on their mortgage, vehicle payments, child support, and income taxes.

Alternatives to Bankruptcy

Contact the Law Office of Camron Hoorfar, PC if you would like to avoid bankruptcy but still be able to reduce or eliminate your debt. We may be able to help you settle your debt or perform a mortgage modification.

Frequently Asked Questions

How does bankruptcy affect my foreclosure?

The answer to this question depends on the type of bankruptcy that is filed and if the foreclosure has already occurred. Generally, a Chapter 7 bankruptcy is used to get rid of a home, but also get rid of the debt. A Chapter 7 bankruptcy will not save a property from foreclosure. Generally, a Chapter 13 bankruptcy is used to save a home or other secured property. A Chapter 13 bankruptcy allows the borrower to make up the missed payments to the creditor over a certain time period, usually three to five years.

What is bankruptcy?

Bankruptcy allows people and businesses to erase their debt or work out a payment arrangement with their creditors. It can also stop a foreclosure, eviction, lawsuit, garnishment, or any other collection activity that a creditor is taking against a borrower.

How often can you file for bankruptcy?

If you filed a Chapter 7 bankruptcy and want to file another one, you must wait eight years. If you filed a Chapter 7 bankruptcy and want to file a Chapter 13 bankruptcy, you must wait four years. If you filed a Chapter 13 bankruptcy and want to file another one, you must wait two years. If you filed a Chapter 13 bankruptcy and want to file a Chapter 7 bankruptcy, you must wait six years.

If I file for bankruptcy, will I lose all of my stuff?

Probably not. Each and every state has rules as to what property a person who files for bankruptcy is allowed to keep. In order to answer this question, schedule an appointment to speak to one of our attorneys so that your individual case and situation can be reviewed.

If I file for bankruptcy, will I lose my house or car?

Probably not. Each and every state has rules as to what property a person who files for bankruptcy is allowed to keep. In order to answer this question, schedule an appointment to speak to one of our attorneys so that your individual case and situation can be reviewed.

If I file for bankruptcy, will I ever be able to buy a house or car again?

Yes. Bankruptcy does not stop you from buying a house or car the day after you file for bankruptcy. In some cases, your bankruptcy may even help you get a home loan or a car loan because the creditor knows that you erased some or all of your debts in your bankruptcy. However, if you file a Chapter 13 bankruptcy, you must get permission from the court to borrow money to buy a house or a car.

If I file for bankruptcy, will I ever be able to get another credit card?

Yes. In fact, you will probably get credit card offers in the mail in the first month after filing for bankruptcy. This occurs because creditors know that you recently filed for bankruptcy and cannot file again for another four to eight. Years. Creditors also know that your debts are erased in bankruptcy and therefore you will have a better ability to pay off your credit card after bankruptcy.

Can I file bankruptcy on some of my debts, but not all of them?

No, bankruptcy is an all-or-nothing approach to your debts. You are not allowed to pick and choose which creditors you want to include in your bankruptcy and which ones you do not want to include. When filing for bankruptcy, you must tell the court about everyone you owe money to, no matter how much it is.

How much does bankruptcy cost?

Generally, the total cost of a Chapter 7 bankruptcy is approximately $1,800. This entire fee must be paid before the bankruptcy can be filed. Generally, the total cost of a Chapter 13 bankruptcy is approximately $3,400. Our office allows clients to pay half of this fee before the bankruptcy is filed. The remainder of the fees can be paid after the bankruptcy is filed.

I am married and want to file for bankruptcy, does my spouse have to file bankruptcy as well?

No, your spouse does not have to file bankruptcy with you. However, the cost for bankruptcy is essentially the same whether you file by yourself or with your spouse. However, if you file for bankruptcy but your spouse does not file, your spouse will still be responsible and on the hook for any debts that are in both of your names. This means that the creditor can still chase your spouse for the debt because your spouse did not file for bankruptcy.

What types of debts does a bankruptcy not erase?

Please contact our office for the entire list of debts that bankruptcy does not erase. However, the main four debts that bankruptcy does not generally erase are alimony payments, child support payments, student loans, and taxes less than three years old.

How long does a bankruptcy take?

Generally, a Chapter 7 bankruptcy will take four months to close from the date the bankruptcy is filed with the court. Generally, a Chapter 13 bankruptcy takes three to five years to close from the date the bankruptcy is filed with the court.

How long does a bankruptcy stay on my credit report?

Generally, a bankruptcy stays on your credit report for seven to ten years. However, that does not mean that you will have bad credit for seven to ten years. In fact, most of our clients experience an increase in their credit score after filing for bankruptcy because the amount of debt that is being erased.

How do I start my bankruptcy?

You can get your bankruptcy started by contacting our office and having a bankruptcy packet be sent to you. The bankruptcy packet contains information about bankruptcy and the documents our office needs from you to assist you in filing for bankruptcy. If you have any questions, feel free to set up a consultation to speak with one of our attorneys who can review your individual case with you.

What accomplishments has Hoorfar Law achieved in the debt relief/bankruptcy area?

From 2015-2016, assisted in settling over $11.7 million in debt, and have discharged over an estimated $41.1 million in debt in bankruptcy.