Your Bankruptcy Questions Answered

 Are you feeling overwhelmed by debt? Have you considered bankruptcy but wondered if it’s the right choice for you? James Clark, Attorney And Counselor At Law is here to help.

• We understand that bankruptcy is an extremely complex area of the law and that the process can be complicated and stressful. We strive to educate our clients, explain their options, and help them get the fresh start they deserve. It all begins by learning about your rights and options.
• Below, we have answered some of the most commonly asked questions about bankruptcy and related matters.

If you still have questions, do not hesitate to call (281) 318-5150

• The decision to file for bankruptcy should be made on a case-by-case basis with careful analysis of your situation and the advice of knowledgeable bankruptcy attorneys. It is not a decision that anyone should rush into although there are certain circumstances that may require expedition of the filing because of a foreclosure or repossession. Although the benefits of bankruptcy can be substantial for many people, there are drawbacks to filing in certain situations. James Clark can assess your current situation and help you determine if bankruptcy is right for you.

• Again, this is determined on a case-by-case basis after a careful analysis of the circumstances of your situation. Generally speaking, however, Chapter 7 bankruptcy is ideal for individuals with limited income who cannot pay back all or some of their debts. Chapter 13 bankruptcy is better suited for individuals whose income exceeds the limit for Chapter 7 and who need more assistance reorganizing their debt to make it more manageable. James Clark will be happy to discuss your case with you and help you determine which type of bankruptcy is the right choice for your particular situation.

• Though bankruptcy is a useful tool to reduce or restructure debt, it will not get rid of all your debt. Certain debts – such as alimony, child support, and most student loans – cannot be discharged through bankruptcy.

• Assets like your house and your car are generally exempt from bankruptcy (though there are exemption amounts – anything valued at less than that exemption amount is protected). Many people are able to protect their house and their car when filing for bankruptcy but each situation is unique. James Clark can help you select the right Chapter to file under to ensure that your valued assets are protected.

• In most circumstances you can file a bankruptcy again, unless the court dismissed your previous bankruptcy ‘with prejudice’ barring you from filing again for six months.
• You may also be barred from filing again if your previous case was dismissed because you failed to follow the court’s orders or if you asked the court to dismiss your case after a creditor moved for relief from the automatic stay.
• There are also restrictions on how frequently you can obtain a discharge of your debts in bankruptcy.

As a debtor, you are protected from creditor harassment under the Texas’ Fair Debt Collection Practices Act.

This means creditors are not allowed to:

• Threaten you with violence or threaten to arrest you
• Use obscene or profane language
• Make harassing phone calls
• Invade your privacy
• Misrepresent themselves
• Attempt to collect more than the amount originally agreed upon

If you are being harassed by debt collectors and creditors, seek help from James Clark. We fight hard to protect the rights of debtors throughout the Southern District of Texas.

The IRS is notorious for denying requests to reduce tax debt through an offer in compromise or some other tactic. However, there are ways to potentially reduce your debt or at least make it more manageable.

You could request:

• An installment agreement
• A partial payment installment agreement
• An offer in compromise
• Currently Not Collectible status