When the bills pile up, the stress from the financial strain piles up—and so do the questions about filing for bankruptcy. We’ve heard those questions in our office as we’ve assisted clients through the process. Our general answers are listed below—as much as we can give because the exact answers are dependent upon your situation (contact us to get those exact answers).
When can I file for bankruptcy?
What chapter bankruptcy do I file?
There are two common kinds of bankruptcy filing in Wisconsin: Chapter 7 and 13. The answer to your specific question depends on many factors, especially your median household income. Contact a lawyer to determine the chapter of bankruptcy filing that best fits your financial situation. The key difference between the two chapters of bankruptcy is that a repayment plan is set for Chapter 13, while a Chapter 7 does not involve any repayment.
Do I need to give up my things when I file for bankruptcy?
Every situation is different, however there are exemptions in Wisconsin that make it possible so that you can keep certain kinds of property during the bankruptcy process. A lawyer can tell you what the Wisconsin exemptions cover specific to your situation.
Will bankruptcy hurt my credit score?
This is where you need to look at your current situation and assess your options; if your credit score is already low, the relief that a bankruptcy provides can be worth the low credit score. Filing for bankruptcy can put an end to collection efforts, judgments, etc.
How do I file for bankruptcy?
While some sources make filing for bankruptcy sound as simple as filling out paperwork, the truth is that choosing the right chapter and navigating through the bankruptcy process is much more complicated. Contact an experienced local lawyer to guide you through the process from start to finish.