3 Common Questions About Bankruptcy
Filing for bankruptcy in Arkansas is a decision you shouldn’t take lightly. It’s something you want to be completely sure of beforehand to ensure you and your family’s best interests are protected. But how do you know if bankruptcy is right for you? You start by asking a lot of questions. At Rainwater, Holt & Sexton, we offer free consultations to all Arkansas residents considering bankruptcy, because we believe you shouldn’t have to pay to understand your options. Although we can’t answer all those questions in a single blog post, here are 3 common questions we get about filing for bankruptcy in Arkansas.
What kinds of debts can be discharged under bankruptcy?
Under Chapter 7 bankruptcy, there are a number of unsecured debts that can be discharged, such as credit card bills, medical bills, and personal loans. However, there are several types of debts that cannot be discharged under Chapter 7 or Chapter 13 filings, including:
- Alimony and Child Support
- Student Loans
- Criminal fines or penalties
- Civil judgments against you resulting from DWI convictions or fraud
How long does it take to file bankruptcy in Arkansas?
If you choose to file a Chapter 7 petition, your debts may be discharged in as little as three to six months. Under Chapter 13 bankruptcy, court-ordered payments can begin within 30 days of filing your petition, and those payment plans can take three to five years to complete.
Will I lose my home, car, and other property?
Not necessarily. One of the benefits of filing under Chapter 13 is that you can roll your home, car, and other secured property into your court-ordered payment plan, thus protecting that property from seizure. This is the main reason folks choose Chapter 13 over Chapter 7.
How do you find out which type of bankruptcy is right for you? Contact our experienced Arkansas bankruptcy attorneys today for your free, no obligation consultation. We’ll gladly answer all of your questions and set you on a course to the second chance you deserve. It’s time to take back control of your life, and it all starts with a single phone call. Contact us today.