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Bankruptcy FAQ

Andrew M. Wolfenson and his staff have over 50 years combined experience helping clients in northern and central New Jersey resolve their debt problems.

What Is The Difference Between Chapter 7 And Chapter 13 Bankruptcy?

Chapter 7 bankruptcy is a mechanism to discharge or eliminate debt you cannot pay. Chapter 13 bankruptcy creates a payment plan that allows you to pay your debt or a portion of it over a period of time.

Will I Lose My Property If I File Bankruptcy?

The intent of bankruptcy is to give you a fresh start, not take away all of your property. Many types of property are exempt, meaning that they will not be taken away from you when you file bankruptcy. Examples of exempt property are equity in your home up to a certain amount, a vehicle up to a certain value, furniture, clothing and other personal assets.

What Does It Mean When A Bankruptcy Trustee Abandons Property?

If the cost of selling your home would be higher than the amount the bankruptcy trustee can expect to clear by selling it, the trustee will typically abandon your property. This means they are abandoning their interest in the property, and are effectively giving your house back to you. It does not mean that you must abandon the property. If you can continue to make the payments, you can keep your house.

Can I Keep My Car When I File Bankruptcy?

If your car is financed, you can reaffirm your credit agreement and keep the vehicle as long as you can show the ability to continue making the monthly payments. If you own your car, you can keep it as long as the value is not too high.

What Can I Do If My Wages Are Garnished?

Filing for bankruptcy will freeze all enforcement actions that creditors take against you, including wage garnishment. However, the creditor can seek to have the garnishment restored.

How Do I Stop Creditor Harassment?

Once you file for bankruptcy, bill collectors will have to stop calling you.

Will I Be Able To Get Credit In The Future After I File For Bankruptcy?

You can begin to re-establish credit immediately following bankruptcy. Down the road, you will be able to obtain loans and buy a house as long as you take the appropriate steps to build up credit rating and continue to make the payments on time.

Free Attorney Consultation

For sound and compassionate legal counsel in bankruptcy, contact us for an appointment. Your initial consultation with a lawyer is free. We have offices in Union and Cedar Knolls.

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We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.