Does filing bankruptcy mean I loose my car & house?

Question

If I file bankruptcy will I loose everything I have? Will all my debit be down to zero? How does bankruptcy work?

Answer 1

I filed in 2002 after a job loss.

I kept my house and cars.

We reaffirmed (repromised) to pay those debts.

All other debt was wiped clean, it was no big deal.

I have 4 credit cards again and it has not been a problem getting any credit after the 1st year.

You will pay the attorney a filing fee. Then a notice will be sent to all creditors (EXCEPT GOVERMENT DEBT< TAXES< STUDENT LOANS< OR CHILD SUPPORT)

They may not contact you at all once they are notified that you have filed.

you may be asked to attend 1 or two credit counseling classes. you can include medical, payday loans, and other signature loans, credit cards etc.

If you have a car you owe too much on and you don't want it, then let it go.  you can get another one.

They will notify and come get it in a couple of weeks.

If you want to keep it you will sign a reaffirmation loan paper. It will take a couple of months to complete the process.

The best part is once you file, you no longer have to pay those debts included in the bankruptcy.

you will still make your house , car payments as always.

When your court day comes you will go to a court room with 100 other people doing the same thing, it is very informal, the judge sat at a desk, you approach with the attorney, they ask you some questions, about your income, your debt and if you understand what you are doing  it all took about 15 minutes, you sign the order , and it is all OVER..

Lawyers usually let you make payments once the filing fees are paid, it can cost $800-2500.00 for a simple bankruptcy depends on lawyer, if you are a couple, or single etc.

Answer 2

There are different chapters under which u can file.You dont lose a house if its your primary residence and you can make payments.Same for the car if its for you to get to work.You have to reconfirm payments on it by signing a document.Talk to a few lawyers.The first consultation for an hour is free. Have all your questions ready.Check the lawyers experience and try to get some references for him.We are filing ch 7 and are able to keep our car.

Answer 3

It could, but not necessarily.  I have filed twice in my life.  Neither time did I lose my car.  First time, I saved the house.  Second time, I surrendered it by my choice.  Any property can be made exempt, but if you try to exempt some property, you may not be able to go through with the BK.

Answer 4

Talk to a lawyer, then get a job.

Answer 5

you need a lawyer to do it , he will answer your ??

Answer 6

bankruptcy is a complicated process with many chapters (the type of bankruptcy you are involved with is called a chapter under the law)  this is not a good place to get specific legal advice....see a lawyer  in most cases your first consultation is free (but not always, call ahead and ask)

Answer 7

No and Yes.  You should contact a bk lawyer to get this information.  It depends on what type of bk you are filing.  Go online to read all about the different types of bk's, and then have a consultation with a lawyer.

Answer 8

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Answer 9

Wow, these answers today!

You don't give much info but I'll give you some general stuff.

If your home and car are still being financed, you will have to continue to pay on them.  Filing bankruptcy does not excuse debts on "secured" loans.  Your bankruptcy protection prevents other creditors from trying to claim your property to pay off debts.  For example, if you owe $30,000 in credit card debts, they can not come after you for your home or car.  These items are exempt.  

But they will NOT excuse your mortgage or car loan.  If you can not afford to continue to pay those debts, you will have to give the property back.