Bankruptcy FAQs
Macon Georgia Bankruptcy Lawyer
If you have any questions about bankruptcy, contact us now. Call --- or use the feedback form on this page. Our bankruptcy attorneys in Macon and Warner Robins GA - Georgia will answer your questions.
What are the alternatives to bankruptcy?
The debtor can contact a debt counseling service to help consolidate debts as an alternative to bankruptcy. If the debtor chooses to file for bankruptcy, the debtor must choose amongst the different chapter. Chapter 7 is the most common one, but Chapter 13 is ideal for debtors with regular income and also allows the debtors to keep their assets. Chapter 11 is ideal for small business owners and sole proprietors.
Will bankruptcy discharge all my debts?
Most of your debts will be discharged by bankruptcy. Once the debt is discharged in bankruptcy, it is no longer enforceable against you. You are no longer required to pay the debt nor can collection activity be initiated against you. Creditors can, however, move to seize any secured asset on which there is a valid lien that has not been avoided (or cleared) by the bankruptcy court. Bankruptcy will give you a fresh start in life. Some debts are however not discharged by bankruptcy. These include: taxes; spousal and child support; debts arising out of willful misconduct and or malicious misconduct by the debtor; liability for injury or death from driving while intoxicated; non-dischargeable debts from a prior bankruptcy; student loans; criminal fines and penalties and forfeitures. It does not discharge the debtor from any debt incurred for money, property, services, or an extension, renewal, or refinancing of credit, to the extent obtained by false pretenses, a false representation, or actual fraud, other than a statement respecting the debtor’s or an insider’s financial condition.
Who can file for bankruptcy?
Any debtor can file for bankruptcy but the debtor cannot file for bankruptcy if a previous bankruptcy petition was dismissed within the past 180 days. Individuals, partnerships and corporations can file for Chapter 7. The debtor must file for Chapter 13 if the debtor’s income is sufficient, after subtracting what you'll spend on certain allowed expenses and monthly payments for child support, tax debts, secured debts such as a mortgage or car loan, and a few other types of debts, to fund a Chapter 13 repayment plan. Chapter 13 is restricted to individual debtors with regular income. Chapter 13 eligibility is contingent on the fact that the individual's unsecured and secured debts are between certain dollar amounts that are adjusted annually by statute. Small businesses should file under Chapter 11.
What happens at the creditor’s meeting in a chapter 7 proceedings?
20 to 40 days after the petition is filed, the trustee will call for a meeting of the creditors. The debtor must attend this meeting. During this meeting the debtor will be under oath. This meeting takes place somewhere in the courthouse rarely lasts more than a few minutes. In most Chapter 7 cases, this is perhaps the only time the debtor will visit the court. The trustee will administer the oath to the debtor and ask questions about the bankruptcy and the debtor’s assets and finances. The trustee has to ensure that the debtor is aware of the potential consequences of seeking a discharge in bankruptcy, including the effect on credit history, the ability to file a petition under a different chapter, the effect of receiving a discharge, and the effect of reaffirming a debt. Bankruptcy judges are prohibited from attending this meeting of creditors in order to preserve their independence.
What is the role of the trustee in a Chapter 7 proceeding?
The bankruptcy trustee will liquidate the debtor’s non-exempt assets and try to maximize returns to the debtor’s unsecured creditors. If the debtor has a business, the trustee may be authorized by the bankruptcy court to operate the business for a limited period of time if the court feels that such action will benefit the creditors.
How can I get a discharge in Chapter 7?
A debtor in Chapter 7 proceedings will generally get a discharge in 60 to 90 days after the date set for the meeting of creditors unless a complaint has been filed objecting to the discharge or the debtor has filed a written waiver. Once the debtor receives a discharge, the debtor is free from personal liability for the discharged debts and creditors cannot collect the discharged debts. Liens however continue even after a Chapter 7 discharge.
Can the court refuse discharge in a Chapter 7 proceeding?
The court can refuse discharge on the following grounds in a Chapter 7 proceedings:
The debtor failed to keep or produce adequate books or financial records;
The debtor failed to explain satisfactorily any loss of assets;
The debtor committed a bankruptcy crime such as perjury;
The debtor failed to obey a lawful order of the bankruptcy court; or
The debtor fraudulently transferred, concealed, or destroyed property that would have become property of the estate.
Does bankruptcy discharge all debts?
Not all debts are discharged by bankruptcy. The debtor will continue to be personally liable for the following debts:
Alimony and child maintenance and support obligations,
Certain taxes,
Debts for certain educational loans made or guaranteed by a governmental unit,
Debts for willful and malicious injury inflicted by the debtor,
Debts for death or personal injury caused by the debtor's operation of a motor vehicle while the debtor was intoxicated from alcohol or other substances, and
Debts for criminal restitution orders.
What is the role of the trustee in Chapter 13 proceedings?
After the petition is filed, the court will appoint an impartial trustee who will collect the payments from the debtor according to the repayment plan and distribute it to the creditors.
What are the requirements of the repayment plan in Chapter 13?
The plan describes in detail how the debtor will repay each debt. There is no official form for the plan, but many courts have designed their own forms. The plan must be approved by the court and provides for payments of fixed amounts to the trustee on a regular basis, typically biweekly or monthly. The trustee then distributes the funds to creditors according to the terms of the plan, which typically offers creditors less than full payment on their claims. The plans must be of three years. If the debtor can show cause, the court will approve plans of five years but plans above five years will not be approved.
Can a Chapter 13 repayment plan be modified?
The trustee can modify the plan if the debtor is unable to finish repayment plan by:
giving a grace period, if the problem looks temporary
reducing the total monthly payments, or
extending the repayment period.
Can a debtor be fired for bankruptcy?
Employers cannot fire or discriminate against employees who have been discharged in bankruptcy proceedings.
How do I get a copy of the discharge in my bankruptcy?
Copy of the discharge order can be collected from the court office after paying the fees or can be obtained online using the PACER system.
If you need a bankruptcy lawyer and you are located in Macon, Roberta, Warner Robins, Forsyth, Byron-Centerville, Culloden, Fort Valley, Haddock, Jeffersonville, Lizella, Perry, Gray, Irwinton, Milledgeville and Vienna including Peach County, Twiggs County, Baldwin County, Dooly County, Houston County, Bibb County, Monroe County, Jones County and Crawford County contact us. We can help you file for bankruptcy.
