Bankruptcy FAQs

What is a bankruptcy petition?

A bankruptcy petition is a form that a debtor files to begin a case before the Bankruptcy Court. The debtor chooses which chapter of bankruptcy to file and provides his or her identifying information.

Are all debts eliminated in a bankruptcy?

Simply put, no. The debts discharged in a bankruptcy vary depending on which chapter of the Bankruptcy Code is filed. Debts that are not commonly eliminated include certain tax claims, domestic support obligations, debt owed to the government, educational loans, etc. To learn more, it is important to meet with a knowledgeable attorney who can explain your obligations to you.

How long does a bankruptcy stay on my credit?

Depending on the credit reporting agency, a bankruptcy may affect a person’s credit rating for anywhere from 7 to 10 years.

What is the difference between Chapter 7 and Chapter 13 bankruptcy?

A Chapter 7 bankruptcy is intended to eliminate unsecured debts. A person who files for a Chapter 7 bankruptcy has little to no disposable income. A Chapter 13 bankruptcy is intended for a debtor who has the financial means to pay back at least a portion of his or her debt. Additionally, a Chapter 13 bankruptcy discharges a wider variety of debts than a Chapter 7 would.

Call Today For a Free Case Consultation

Learn more about bankruptcy and the options that may be available to you as you seek financial peace. Call Lam Law Firm today at (843) 839-9995 to speak with a Myrtle Beach bankruptcy attorney and meet for a completely free, no-obligation case consultation.