QUESTION
What will filing chapter 13 do to my credit and is it worth it?
Asked on Jun 30th, 2013 on Bankruptcy - Idaho
More details to this question:
Do I need an attorney to do it? We are becoming overwhelmed with medical debt, too many agencies want too much money for not enough paycheck. Consolidation is not an option apparently.
11 ANSWERS
Bankruptcy Attorney serving Phoenix, AZ
at
Law Office of D. L. Drain, P.A.
Update Your Profile
These are huge questions. I would need a lot more information in order to answer accurately. Please understand that bankruptcy is a complicated process. A chapter 13 bankruptcy is extremely complicated. It is wise to talk to an experienced chapter 13 bankruptcy attorney before deciding to take this important step.
Answered on Jul 03rd, 2013 at 3:21 AM
Without a lot more information, I can't tell you if it is worth it or not. The fact that you are thinking about seems to indicate that it may be. Is there some reason you want to file a 13. A 7 is probably a better option.
Answered on Jul 02nd, 2013 at 9:14 PM
You should never file a Chapter 13 case without an attorney representing you. It is a very complicated process, and an experienced attorney will make your life a lot easier. It is hard to answer your question about what a Chapter 13 will do to your credit. That all depends on what your credit score is now and whether you stay out of debt while you are in Chapter 13. Chances are you will be able to repair your credit pretty easily after your Chapter 13 is finished.
Answered on Jul 02nd, 2013 at 12:39 PM
You really need an attorney for most bankruptcies but especially so for chapter 13.
Answered on Jul 01st, 2013 at 8:58 PM
Bankruptcy Attorney serving Livonia, MI
at
Charles J. Schneider, P.C.
Update Your Profile
You should always have an attorney especially when filing a chapter 13.
Answered on Jul 01st, 2013 at 7:32 PM
The vast majority of Chapter 13 cases filed without a lawyer fail miserably. There is almost no reason not to hire an attorney because other than the modest down payment you make, your legal fees come out of money that would otherwise be used to pay on your old collection accounts & credit cards. You may even be eligible for the less expensive Chapter 7 program.
Answered on Jul 01st, 2013 at 7:32 PM
Debt Settlement Attorney serving Chicago, IL
at
Law Offices of Daniel J. Winter
Update Your Profile
There are two different kinds of bankruptcy for people generally, Chapter 13 (repayment plan) and Chapter 7 (debt elimination). Your credit will take a hit, but then recover within a year or two. You may even be able to get credit shortly after bankruptcy as well. Usually people recover enough to buy houses and cars on credit after a bankruptcy. It is important to use an attorney, because there are many things you have to do. If you don't do it right, your case will fail. Also, you need to discuss with your attorney which kind of bankruptcy is best for you.
Answered on Jul 01st, 2013 at 2:08 PM
Deborah F. Bowinski
You should consult with a bankruptcy attorney. If you are eligible, a chapter 7 filing might be preferable to a chapter 13 since it is simpler, faster, and less expensive. Either way, though, bankruptcy is complicated and there is a lot to lose for the unwary who try to file on their own without the benefit of legal representation.
Answered on Jul 01st, 2013 at 1:51 PM
Bankruptcy Attorney serving Florissant, MO
at
Law Offices of Thomas Corcoran Phipps
Update Your Profile
If you don't use an attorney, you are responsible for filing the correct forms and following all rules of court. In a chapter 13, you may be able to pay less than 100% of your debt, and make the payments over three years.
Answered on Jul 01st, 2013 at 1:34 PM
bankruptcy Attorney serving Paul, ID
at
Paul N. J. Ross Law, PLLC
Update Your Profile
Ch 13 will hit your credit like any other bankruptcy. But it will resolve the issues now rather than allowing negative reporting for years to come. Ch 13 is a complex statutory field and navigating it without an attorney is near impossible.
Answered on Jul 01st, 2013 at 12:06 PM
General Practice Attorney serving Coeur d'Alene, ID
at
Michael B. McFarland, PA
Update Your Profile
Any form of bankruptcy is a ding on your credit; but if it's already bad, your score may improve after bankruptcy, since the one bankruptcy entry will supersede all of the other negatives. Chapter 13 is a viable option for many people with debt problems, but it is complex, so you should use an experienced bankruptcy attorney to assist you with the filing. To get a better understanding, I would recommend that you consult with an attorney (usually little or no charge for the first consultation) to see what your options are.
Answered on Jul 01st, 2013 at 12:06 PM