By filing for bankruptcy, you are technically placing the property you own and the debts you owe in the hands of the bankruptcy court. You can’t sell or give away any of the property you own when you file, or pay off your pre-filing debts, without the court’s consent. However, with a few exceptions, you can do what you wish with property you acquire and income you earn after you file for bankruptcy. To begin the bankruptcy process, you file legal papers called a petition with the Bankruptcy Court. You must list all your debts and property on the petition. After you file for bankruptcy, your creditors cannot try to collect from you directly, but they must take any claims they have against you to the Bankruptcy Court. It prohibits your creditors from debt collection actions without the court’s approval.
One of the most important changes made to the Bankruptcy law in 2005 requires debtors to pass the “means test”. In summary, the test determines whether a bankruptcy filer has enough disposable income to repay their debts. A person’s whose income exceeds that of their state of residence’s median income will probably not qualify, to file under chapter 7 but rather under chapter 13. Chapter 13 sets up a repayment schedule for debtors to repay their debts – thus debts are not forgiven but rather the filer has more time to pay them back.
We are bankruptcy attorneys based in Augusta, GA (Georgia). We serve clients in Augusta, GA (Georgia) and throughout the CSRA, including Columbia County, Richmond County, Lincoln County, McDuffie, Jefferson and Burke Counties, Evans, Appling, Waynesboro, Louisville, Thomson, Lincolnton, Girard Georgia & Aiken, South Carolina & North Augusta SC. Contact us. We can help you file for bankruptcy.
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We are Augusta GA bankruptcy lawyers and bankruptcy attorneys in Augusta – Evans Georgia that assist their clients in filing for Chapter 7 Bankruptcy and Chapter 13 Bankruptcy in Augusta GA.
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