Walker Law Firm

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Testimonials

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    <h1>Testimonials</h1>

    <h2>We value our relationship with our clients!</h2>

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<h3 class="txt-left-cont">We take pride in the experience our attorney brings and the debt relief we offer our clients. We would like to share what some of our bankruptcy clients have said about the service we provide.</h3>
   
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    <img src="/uploads/start_quote_cea0718958.png?3542607.454999932" class="start-quote"><p class="quote-text">I really enjoyed having Mr. Walker as my bankruptcy lawyer he was always very detailed with explaining and helping me better understand the bankruptcy process! He was professional but friendly at time too. I would recommend him to anyone needing someone to trust with this type of case.<img src="/uploads/end_quote_934e856f32.png?3542608.1299999496" class="end-quote"></p>
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    <h3 class="center after-quote">P. Duffey | 24 Sep , 2020.</h3>
    


    
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    <img src="/uploads/start_quote_cea0718958.png?3542607.454999932" class="start-quote"><p class="quote-text">Mr. Walker and his staff are amazing. They take time to listen to you, explains everything very well, Very, caring, and takes time with you.<img src="/uploads/end_quote_934e856f32.png?3542608.1299999496" class="end-quote"></p>

    <h3 class="center after-quote">S. Lloyd | 03 Mar 2021</h3>
    
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     <img src="/uploads/start_quote_cea0718958.png?3542607.454999932" class="start-quote"><p class="quote-text">So informative on what is going on with my case. Mr. Walker always goes above and beyond to help me with any questions. Great law firm! You guys rock!!!<img src="/uploads/end_quote_934e856f32.png?3542608.1299999496" class="end-quote"></p>

    <h3 class="center after-quote">R. Leonard | 18 Jan , 2021</h3>
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      <img src="/uploads/start_quote_cea0718958.png?3542607.454999932" class="start-quote"><p class="quote-text">They keep you updated plus give all info on everything to help you. Would recommend them to everyone!!!<img src="/uploads/end_quote_934e856f32.png?3542608.1299999496" class="end-quote"></p>

    <h3 class="center after-quote">R. Brasher | 07 Oct , 2020</h3>
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     <img src="/uploads/start_quote_cea0718958.png?3542607.454999932" class="start-quote"><p class="quote-text">Love love the service he was polite down to earth great advice would recommend you guys 100%<img src="/uploads/end_quote_934e856f32.png?3542608.1299999496" class="end-quote"></p>

    <h3 class="center after-quote">A. Kelley | 22 Oct , 2020</h3>
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     <img src="/uploads/start_quote_cea0718958.png?3542607.454999932" class="start-quote"><p class="quote-text">"Outstanding service! Cannot beat the follow up and communication they provide! Excellent staff!"<img src="/uploads/end_quote_934e856f32.png?3542608.1299999496" class="end-quote"></p>

    <h3 class="center after-quote">L. Walker | 02 Mar , 2021</h3>
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We value our attorney - client relationship. We also like knowing that they value us. See what some of our very satisfied clients had to say.

Testimonials From Our Clients

Bio Page

<h1 class="center">J. CLARKE WALKER, ESQ. <br>Experienced Bankruptcy Attorney</h1>
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  <img class="responsive-img"
    src="/uploads/small_clarke1_3aae1be067.jpg?6739114.020000008" alt="Clarke Walker, bankruptcy attorney"/>

  <p>Born and Raised in Dothan, Alabama, <b>Clarke Walker</b> is a consumer bankruptcy
    attorney and advocate. Clarke
    received a B.S. in Accounting from Auburn University in 2004. In 2007 he earned his J.D. from Faulkner University’s
    Thomas Goode Jones School of Law. Clarke has more than 10 year of experience in working with individuals and
    families
    throughout Alabama by helping them find relief from creditors by filing for bankruptcy. As a member of the Alabama
    State Bar and the National Association of Consumer Bankruptcy Attorneys, Clarke is admitted to the following courts
    to
    fight for your debt relief:</p>
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<ul class="collection">
  <li class="collection-item">All Alabama State Courts</li>
  <li class="collection-item">United States Court of Appeals, Eleventh Circuit</li>
  <li class="collection-item">U.S. District Court for the Northern District of Alabama</li>
  <li class="collection-item">U.S. District Court for the Middle District of Alabama</li>
  <li class="collection-item">U.S. District Court for the Southern District of Alabama</li>
  <li class="collection-item">U.S. District Court for the Northern District of Florida</li>
</ul>
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<p>Clarke Walker has 10 years of experience helping clients throughout Dothan, AL area. Contact <a href="https://bankruptcylawhelpnow.com/">The Walker Law Firm</a> today for a <b>FREE</b> consultation if you are falling behind on
  your bills, worried about keeping
  your home or car, or for any debt-related concerns.</p>

Bankruptcy Attorney, Clarke Walker has more than 10 year of experience working with people in debt and offers a free consultation.

J. CLARKE WALKER, ESQ. | Bankruptcy Attorney

J. Clarke Walker

Chapter 7 vs Chapter 13

<h1>Chapter 7 vs Chapter 13, Your Bankruptcy Options</h1>

  <img class="responsive-img"
    src="/uploads/small_i_Stock_1286514050_fcb776689f_b35de91ae6.jpg" alt="chapter 7 bankruptcy, chapter 13 bankruptcy, get out of debt" "stop creditors" />
<p><strong>Chapter 7 Bankruptcy</strong> helps you eliminate <strong>debt</strong> and make a fresh start. <strong>Chapter 13 Bankruptcy</strong> can give you a chance to repay your debt so you can save your home and valuable assets.</p>
<p>You have a legal right to<a href="/debt-relief">debt relief, which incudes filing for Bankruptcy</a>.</p>
<p>Both <i>Chapter 7 Bankruptcy and Chapter 13 Bankruptcy</i> offer immediate financial relief from debt collections through the <strong>Automatic Stay</strong>. Once you file for Chapter 7 or Chapter 13 Bankruptcy, your <strong>creditors</strong> are by law, not allowed to contact you for any debt collection purposes.  This includes money owed for your mortgage, car payments, credit cards, any type of unsecured loan including payday loans, or medical debt. Lenders, mortgage holders, collection agencies, or anyone else attempting to collect a debt from you, are all barred by law from contacting you as a <strong>debtor</strong> to collect, settle, or renegotiate debt. And while not all debts are dischargeable, such as <strong>student loans and money owed to the IRS,</strong> any collection activities and required payments are temporarily suspended.</p>
<p><a href="/faq/credit-counseling-and-bankruptcy">Chapter 7 Bankruptcy and Chapter 13 Bankruptcy both require Credit Counseling</a>. Your Bankruptcy case won't be discharged and can even be dismissed if you don't provide a certificate of having completed your <i>Credit Counseling and Debtor Education</i> courses to the Bankruptcy Court. <a href="/what-is-a-341-meeting">Chapter 7 Bankruptcy and Chapter 13 Bankruptcy require a 341 Meeting, also known as a Meeting of the Creditors</a>. In most cases, creditors are unlikely to show up but you will have to meet with your assigned Bankruptcy Trustee.</p>
<p>You will have to provide information about all of your <strong>assets, debts, open accounts including retirement accounts, income, and possessions</strong> when filing Chapter 7 Bankruptcy or Chapter 13 Bankruptcy. The purpose under bankruptcy law isn't to seek assets or possessions of yours to be sold, but more so assess whether you would be better off with Chapter 7 or Chapter 13, largely based on your ability to pay back your debts. Both Chapter 7 and Chapter 13 Bankruptcy have exemption allowances that protect and a keep most, if not all, of your assets and personal property. These are meant to protect you as a bankruptcy filer.</p>

<p>Both Chapter 7 Bankruptcy and Chapter 13 Bankruptcy have their advantages, which one is better for you depends on your circumstances. Your income, assets, debt to income ratio, and type of debt you owe will help you determine which is best for your situation.</p>
<h2>How are Filing Chapter 7 Bankruptcy and Chapter 13 Bankruptcy Different?</h2>
<p>In general, <a href="/services/chapter-7">Chapter 7 Bankruptcy </a> is best for people who don't own a home but continue to accumulate debt that outpaces and in some cases, can exceed their income. This would include unsecured debt such as credit card debt, medical debt, personal loans, and payday loans. Chapter 7 can also help if you are behind in your auto loan, which is a secured debt.</p>
<p><a href="/services/chapter-13">Chapter 13 Bankruptcy</a> would likely be better for you if you own a home, are behind on your mortgage payments, but still want to keep your home. Chapter 13 offers the opportunity to catch up on your debts and keep your home through a <i>repayment plan</i>.</p>
<p>In order for you to be approved for a Chapter 13 repayment plan you must show that you have a sustainable income so the trustee can see that you are able make payments under the plan. For this reason, Chapter 13 Bankruptcy is known as the "wage earner's bankruptcy".</p>
<p>Chapter 7 offers a fresh start by eliminating unsecured debt. If you're debt continues to grow, outpacing your ability to keep up, Chapter 7 Bankruptcy can offer a clear path out by having your unsecured debt discharged. This can be especially so when it comes to taking out personal or even payday loans to keep up with existing debts or payments.</p>
<p>Being behind on your car payments can be scary, especially if you are in danger of having your car repossessed or have had a car repossessed in the past. In some cases there may be late fees added to your account or maybe you have already extended your loan to get current on your car loan but this adds to your balance and the amount of interest you are paying.</p>
<p>Very often, the worst case scenario is when you fall so far behind that you will still owe thousands to the lender even after the term of your loan ends. By then, the car will have depreciated in value considerably and may be in need of repairs, especially if you are making payments on a used car.</p>
<p>If you are not too far behind in your car payments, your car is still in good condition, and it still holds some value, you will have the opportunity to catch up on your payments during the Automatic Stay and resume making your payments. If you intend on keeping your car, you can reaffirm the car loan and arrange to catch up on your past due amounts and resume your regular monthly payments. In a Chapter 13 Bankruptcy you would be able to have your car payments included in your Chapter 13 repayment plan.</p>
<p>The reaffirmation agreement will be sent to you and your attorney. In some rare cases a lender will agree to renegotiate the loan with a lower balance, interest rate, or payment, but in most cases they will hold you to the terms of the original loan, especially for a Chapter 7 Bankruptcy.</p>
<p>You should be aware that since a car loan is a secured debt, meaning that the car itself is collateral, the lender or loan servicer can still repossess the car if you choose not to reaffirm the car loan. But either way, by <a href="/faq/car-repossession-and-bankruptcy"> filing Chapter 7 Bankruptcy or Chapter 13 Bankruptcy you can halt the repossession process</a> which will buy you time so you can figure out what to do.</p>
<h2>Should I Keep Making Payments On My Car Under Chapter 7 Bankruptcy?</h2>
<p>If have extended the payment period of you car and it appears that you will continue to owe money when the term of your car loan ends, you may want to consider surrendering it and arranging to drop off your car or have it picked up by the lender or loan servicer. You may especially want to consider this option if in addition to owing well more than the car is worth, the car has high mileage and is in need of repairs.</p>
<p>The advantage of choosing to surrender your car in addition to no longer making on a car of little value and in need of repair, is that any debt related to the loan including the remaining balance, late fees, accrued interest, collection or repossession fees, are all discharged in a Chapter 7 Bankruptcy. This way, you can walk away from the car and the many expenses attached to it.</p>
<p>If you are wondering how you will get around without your car, there are options available. With the Automatic Stay in place, you will notice that you are keeping more of your paychecks. If possible, you can set a little bit aside to purchase a used car for cash or to make a down payment on a late model used car. There are in fact lenders who are willing to work with people in bankruptcy or after discharge to finance a used car. The interest rate will not be preferable, but if you can make your payments on time, they get reported to the credit bureau which helps you to repair your credit. On time payments can eventually lead to lower interest rates on future loans and purchases.</p>
<h2>Chapter 7: Credit Cards, Personal Loans, And Payday Loans</h2>
<p>If you're credit card debt is growing faster your ability to pay it back, or you have high interest personal loans that become more difficult to pay back, you do have options. In some cases you try to consolidate or renegotiate your loans. This usually works best with the assistance of a credit counseling agency. If you can make this option work, it may be helpful in lowering your overall debt.</p>
<p>But lenders and loan servicers aren't always willing to negotiate as your debt level continues to rise. This goes even more so for payday loans. If you have found yourself having to resort to payday loans, you are most likely keeping much less of your paychecks. To make matters worse, payday lenders are notoriously reluctant to ever renegotiate the terms of your loan or offer any sort of reduced or delayed payment options.</p>
<p>If you file for Chapter 7 Bankruptcy however, any and all collection activity will be immediately halted. This includes attempts to renegotiate or settle any or your debt. Once you file, they cannot contact you for any of these purposes. Additionally, if you have a bankruptcy attorney, any communication from your creditors must go through your bankruptcy attorney, </p>
<h2>Chapter 7 Bankruptcy: Will I Have to Sell My Possessions To Pay My Debt?</h2>
<h3>In almost all cases, filers for Chapter 7 Bankruptcy never have to sell off anything.</h3>
<p>In fact, Chapter 7 is designed to prevent such an occurrence, especially when it comes to your most basic needs such as clothing, furniture, and appliances. Sometimes Chapter 7 Bankruptcy is referred to as a liquidation of assets, meaning property belonging to you can be sold to pay off debt. You should be aware however, very few Chapter 7 cases involve the selling of assets, or personal belongings. There is a means test that calculates your debt to income ratio and takes into consideration your personal income. An experienced bankruptcy lawyer could give a good idea of whether you would meet the means test.</p>
<h2>Save Your Home, Property, and Assets With Chapter 13 Bankruptcy</h2>
<p>If you are behind on your mortgage or even in <a href="/faq/can-bankruptcy-help-me-stop-foreclosure">foreclosure, Chapter 13 Bankruptcy will not allow any foreclosure, sale of your home, repossession, or eviction</a> to take place. If you are making payments on your car, or any other secured property, Chapter 13 protects any type of repossession. Payments on your car can be included in your repayment plan as well.</p>
<h2>Your Repayment Plan Under Chapter 13 Bankruptcy</h2>
<h3>Chapter 13 Bankruptcy gives you the opportunity to create a repayment plan so you can preserve your home and assets.</h3>
<p>Unlike Chapter 7, Chapter 13 Bankruptcy is designed to have you pay back as much of your debt as possible. Bankruptcy law requires that all of your disposable income go towards your repayment plan. The repayment plan lasts anywhere from 3 to 5 years. Disposable income is the income that is left over after your essential expenses such as food, rent or mortgage, transportation, insurance, childcare costs, and educational expenses.</p>
<h2>Chapter 13 Bankruptcy and Bankruptcy Court</h2>
<p>The plan must be approved by the Bankruptcy Court and is overseen by a Bankruptcy Trustee. If the plan is approved, you will make monthly payments to the trustee overseeing your case. </p>

<h2>One of the most significant benefits of Chapter 13 Bankruptcy is the ability to keep your home.</h2> 
<p>It is a commitment to stay with the payment plan for 3-5 years but when it's over, you still have your house that you have worked hard to own and maintain. Even if you are in foreclosure and your house is up for auction, Chapter 13 will stop the process allowing you to keep, and stay in your home as you submit and maintain your bankruptcy repayment plan.</p>
<h2>Are You Facing Foreclosure in Alabama? Chapter 13 Bankruptcy Can Stop It</h2>
<p>If you live and own a home in Alabama, it is important for your to be aware that Alabama is a non-judicial foreclosure state. This means that your lender or mortgage holder does not need a court order to foreclose on your home and put it up for auction. So if you are behind on your <i>mortgage payments</i>
 and in danger of foreclosure, you may need to act quickly to stop the process, or even head it off before it begins. In fact, there are few other foreclosure defenses in Alabama than for filing for Chapter 13 Bankruptcy. You should contact a bankruptcy lawyer as soon as possible if you're facing, or in, foreclosure.</p>
<h3>The Walker Law Firm has experience with Chapter 7 Bankruptcy and Chapter 13 Bankruptcy, and we offer a free consultation!</h3>
<p>If you are considering filing for bankruptcy, you may have gotten an idea as to whether Chapter 7 Bankruptcy or Chapter 13 Bankruptcy would be right for you. If you are uncertain whether to <strong>file for bankruptcy</strong>, whether Chapter 7 vs Chapter 13 is right for you, or have any other questions on bankruptcy, contact an <a href="/clarke-walker-bankruptcy-attorney">experienced bankruptcy lawyer</a>.  We offer a free consultation so you have nothing to lose by contacting us. Don't wait for an unpleasant surprise to arise, contact us today!</p>
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You can find debt relief by filing for Chapter 7 or Chapter 13 Bankruptcy. Contact the Walker Law Firm to see which one might be right for you.

Bankruptcy: Chapter 7 vs Chapter 13

Debt Relief Agency

<h1 class="center">Bankruptcy And Your Right To Debt Relief
</h1>
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  <img class="responsive-img"
    src="/uploads/small_i_Stock_869818244_332457b63e_714592a8e5.jpg" alt="relief from debt, credit counseling, debt management program, file for bankruptcy"/>
<p>If you are struggling to keep up with your bills and monthly expenses such as mortgage or rent, car payments, and medical expenses, you have a legal right to debt relief. 
<h2>Debt Relief And Credit Counseling</h2>
<p>Debt relief can come in the form of a debt repayment plan, or consolidation. This can often be done with the assistance of a credit counseling agency or a lender that can offer you a consolidation loan at a better interest rate. In many cases, this can be done for credit card debt. Debt relief can also come in the form of a bankruptcy filing.</p>

<p>Credit counseling agencies can be helpful with debt relief. They can help you find debt solutions by getting an overview of your finances and offering suggestions that could help you find the debt relief you need. With a picture of your finances, the credit counseling agency can determine which types of debt relief may work best for you. In some cases they may suggest debt management tips or strategies, or whether debt settlement or consolidation could help you find debt relief. </p>
<h3>Your Financial Overview</h3>
<p>For any type of debt relief, whether negotiated through a credit counseling agency or if you negotiate directly with your creditors, you will most likely need to present a financial overview. This will include, but not necessarily limited to, your income, your assets and possessions including and real estate or property that you own.</p>
<h2>Debt Consolidation and Debt Settlement</h2>
	<h3>Two options that are available include <strong>Debt Consolidation</strong> and <strong>Debt Settlement</strong>.</h3>
    <p>With debt consolidation, multiple debts are combined into one single loan with one interest rate and one payment due date. The lender or broker offering the debt consolidation will charge a fee for their services, but your monthly total debt payments still should be lower and more manageable.</p>

<p>Debt Settlement involves negotiating with your creditors to reduce the amounts owed. In some cases, you may be allowed to pay a lump sum for a balance owed in a lower amount. Debt settlement can also allow for a reduced balance or reduced payment offering debt relief. Such an agreement may be negotiated on the condition you make all of your payments on time. In some cases, the creditor can collect on the previous amount due, meaning the original balance, if you miss a payment.</p>
<p>Debt settlement and consolidation can both be an effective form of debt relief, but to negotiate either debt settlement or debt consolidation, you may still need a high enough credit score to qualify, or at least qualify for a favorable enough interest rate. This can often be difficult for people already in debt and have already missed payments.</p>
<p>Debt settlement and debt consolidation can sometimes mean that your overdue accounts will be closed. While this may mean losing any available credit in these accounts and making it more difficult to borrow in the short run, but it is also an opportunity to lower your overall level of debt and ultimately improve your credit score with on-time payments.</p>
<h2>Debt Relief Through Bankruptcy</h2>
<h3>Is Bankruptcy the Solution?</h3>
<p>If your debt to income ratio is especially high, it's possible that bankruptcy may be suggested as an option. The credit counseling agencies won't necessarily recommend that you file for bankruptcy but can let you know whether you might be a good candidate for a bankruptcy filing. If you are filing for bankruptcy, you will be required to take a <a href="/faq/credit-counseling-and-bankruptcy"> credit counseling</a> course. Many of these credit counseling agencies also provide debt relief services.</p>
<h2>Immediate Debt Relief  When You File For Bankruptcy</h2>
<h4>If your debt is increasing beyond your ability to continue paying for it, Bankruptcy may be an option.</h4>
<h2>Bankruptcy and the Automatic Stay</h2>
<h3>The Automatic Stay Stops All Collection Activity in Their Tracks</h3>
<p>Under bankruptcy law, the Automatic Stay provides instant debt relief by barring nearly all creditors when you file for bankruptcy. The Automatic Stay doesn't last forever, but can give you the breathing space to the next steps in your bankruptcy proceedings without having to deal with letters or calls from collection agencies.</p>
<h3>Your Options</h3>
<p> The two main forms of consumer bankruptcy are <a href="<p><a href="/chapter-7-vs-chapter-13">Chapter 7 vs Chapter 13</a>Chapter 7 and Chapter 13</p>. If you are drowning in debt and considering bankruptcy, it could be helpful to know which type might be best for you. Both Chapter 7 and Chapter 13 offer a powerful means of debt relief.</p>
<h3>Chapter 7</h3>
<p>If you don't own a home and are over your head in debt, filing for <a href="/services/chapter-7">Chapter 7 Bankruptcy</a> may be your best option for debt relief. If your credit card debt is growing, you possibly have outstanding medical debt, or even behind on your car payments, Chapter 7 can offer a fresh start by discharging all or most of your unsecured debt, usually within one year of your filing.</p>
<p>Chapter 7 Bankruptcy cases are usually finalized, or discharged, within one year of filing. Unsecured debt such as personal loans, credit cards, and even payday loans can be discharged through Chapter 7 Bankruptcy. Chapter 7 Bankruptcy can also eliminate medical debt and outstanding dental bills.</p>
<h3>What About My Car?</h3>
<p>If you are behind on car payments and feel that you are stuck a with car that is losing value and in need of considerable repair, Chapter 7 allows you to surrender the vehicle and any debt owed for the balance, missed and late payments, or any collection fees. If you think you can afford to keep your car, you can arrange to make up for any back payments owed but the auto lender isn't likely to reduce the balance or interest rate.</p>
<h3>Chapter 13</h3>
<p>If you own a home and are hoping to keep it, <a href="/services/chapter-13">Chapter 13 Bankruptcy</a> could help you to keep your house by allowing you to get caught up on your mortgage through a court approved repayment plan. If you are behind on your car payments and wish to keep your car, then you can include any amounts past due in your debt repayment plan.</p>
<h3>Keep Your Home</h3>
<p>As an immediate form of debt relief, Chapter 13 Bankruptcy can not only prevent your home from going into foreclosure, but it can halt the foreclosure process after it begins. Even if your home has been put up for auction, filing for Bankruptcy will stop the process and prevent any sale of your home and also halt any evictions.</p> 
<h3>Repayment Plan</h3>
<p>You will still need to provide the Bankruptcy Court with a repayment plan for any overdue mortgage payments. But filing for bankruptcy will offer you debt relief and valuable time to come up with a plan to catch up with your mortgage payments and keep your home. Under Chapter 13 Bankruptcy, repayment plans are overseen by the Bankruptcy Court and will last from three to five years.</p>

<h2>The Walker Law Firm is a Debt Relief Agency</h2>
<h3>If You Are In Debt and it's Getting Worse, Contact Us Today</h3>

<p>If you are struggling with debt and it's only getting worse, contact the <a href="https://bankruptcylawhelpnow.com/">Walker Law Firm</a> today for the debt relief allowed to you by law! We offer a free consultation to discuss your best options for getting out of debt.</p>
</div>

The Walker Law Firm is a Debt Relief Agency. You can keep your home and car, or make a fresh start by filing for bankruptcy.

Walker Law Firm | Debt Relief Services & Bankruptcy Law,  

Debt Relief

F.A.Q.

 <h1 class="center">Bankruptcy Does Not Mean You Lose Everything - What Happens When You File For Bankruptcy?</h1>
  <img class="responsive-img img-wrap-right"
    src="/uploads/small_living_room_1_38e78a6c4f.jpg?35768798.649999954" alt="personal property, chapter 7 bankruptcy, exempt assets"/>
    <h2>Bankruptcy Filing Offers Protections</h2>
  <p class="flow-text txt-wrap-left">
Bankruptcy has long carried a stigma of people being wiped out and losing all of their property and possessions. But contrary to what many think, filing for bankruptcy does not mean that you lose everything. In fact, bankruptcy laws are designed as a legal means to protect certain assets, properties and possessions and allow for a fresh start.</p>
<p class="flow-text txt-wrap-left">As bills and debts for rent or mortgage, car payments, credit card payments, personal or payday loans add up, it can be overwhelming when you find yourself keeping less and less of the money you make. If this sounds like your situation, you may be a good candidate for filing bankruptcy.</p>

<p class="flow-text txt-wrap-left">Bankruptcy laws are not meant to put you out on the streets with no possessions as many people think. Bankruptcy laws were written to prevent such a scenario from taking place. Filing for bankruptcy gives you the chance to start over. In some cases, an unexpected life event such as an accident, illness, or job loss, could cause a person's <strong>debt</strong> to rise above their ability to pay it off. In other cases, perhaps better financial decisions could have been made. Regardless of the reasons, bankruptcy laws exist to give people who are unable to pay their debts relief and a second chance.</p>


<p class="flow-text txt-wrap-left">It is not an easy thing to realize or admit that you may need to file for bankruptcy. But in many cases bankruptcy can be the best way to turn your situation around and stop living in fear of <i>creditors and debt collectors</i>. For many who don't understand bankruptcy, the thought of filing may not be appealing but when compared to a never ending cycle of debt, it can bring significant relief for people struggling with debt.</p>
<p class="flow-text txt-wrap-left"><strong>Both Chapter 13 Bankruptcy and Chapter 7 Bankruptcy offer protections for assets, personal property, and belongings from creditors and debt collectors.</strong></p>
<p class="flow-text txt-wrap-left">In a Chapter 13 Bankruptcy the goal is to repay your debts through a repayment plan approved of by the Bankruptcy Court. In this way, you get to keep your assets. In a Chapter 7 Bankruptcy theoretically some of your assets can be sold off to pay your unsecured debts. While Chapter 7 is considered to be a liquidation of assets, in the overwhelming majority of Chapter 7 cases this does not happen. </p>
<h3>The Means Test</h3>
<p>There is a means test under bankruptcy law that calculates whether your income is low enough so that all of your assets could be considered exempt, meaning they would be protected from having to be sold to pay any debt. This applies to personal property such as clothing, furniture, and household appliances, but may not include items of particularly high value. The test is based on state exemption laws which vary according to the state's median income.</p>



 <h2 class="flow-text txt-wrap-left">The Automatic Stay</h2>
        <h3 class="flow-text txt-wrap-left">The first and most
    notable benefit of filing for bankruptcy is that debt relief is immediate.</h3>
    <p class="flow-text txt-wrap-left">Once you file for bankruptcy with the Bankruptcy Court, the <strong>Automatic Stay</strong> legally stops nearly all collection activity that can be taken
    against you including foreclosures, evictions, and repossessions. Phone calls, letters, and any other communications
    from creditors will cease immediately.</p>

<h2>Do You Need A Lawyer?</h2>

      <p class="flow-text txt-wrap-left">If you have a <a href="/clarke-walker-bankruptcy-attorney">bankruptcy attorney</a> any and all contact regarding your debt and your bankruptcy proceedings must go through your attorney. Under federal law, your creditors may not contact you directly.</p>
    
<h3>Unsecured Debt</h3>
    <p class="flow-text txt-wrap-left">For any unsecured debt, meaning there is no collateral, the Automatic Stay remains in effect until the bankruptcy is discharged. This applies to debts such as credit cards, personal loans, medical bills, and even payday loans.</p>
<h3>Secured Debt</h3>
    <p class="flow-text txt-wrap-left">For secured debt, such as loans for homes and cars, the Automatic Stay gives you time to decide what you plan on doing with these assets, this may depend on which type of bankruptcy you file.</p>
    
    <h4 class="flow-text txt-wrap-left">Even if you're home is under foreclosure, the Automatic Stay will halt the foreclosure process and allow you to submit a repayment plan for past due amounts.</h4> 
Under <a href="/services/chapter-13">Chapter 13</a>, as long as the past due and current mortgage loan payments are made on time and consistently, the foreclosure is not allowed to continue. Chapter 13 Bankruptcy also allows you to do the same with a car if you are behind on your car payments.</p>
    
    
  <p class="flow-text txt-wrap-left">You can also choose to surrender your assets and have any related debt discharged, meaning it is eliminated. This occurs under a <a href="/services/chapter-7">Chapter 7 Bankruptcy</a>. If you are making car payments, have fallen behind, and owe considerably more than the car is worth, this might be a good option for you especially if you have fallen behind on your payments due to other debts. You do have the option to reaffirm your car loan under Chapter 7, but in most cases you will be responsible for paying back any past due payments, late fees, and interest. In making a decision whether or not to keep your care, you may want to consider the car's mileage, value, and whether it is in need of significant repair.</p>
  
    
    <h2 class="flow-text txt-wrap-left">Bankruptcy and Your Credit Score</h2>
     <h3 class="flow-text txt-wrap-left">Bankruptcy 
    does not mean that your credit is permanently ruined</h3>
    <p class="flow-text txt-wrap-left">Filing for bankruptcy also doesn't mean that you will never be able to borrow again. Chances are your credit score had already been lowered by missed payments, collections, and defaulted accounts.</p>
 


    <p class="flow-text txt-wrap-left">For a Chapter 7 Bankruptcy, after your bankruptcy is discharged, the discharged debts for medical bills, credit cards, and other unsecured debt should start to disappear from your credit report. Also, collection accounts will disappear and any record of the late payments on them will disappear as well. As these debts and collections are removed from your credit report, your credit score will start to rise. It should be noted however that a bankruptcy filing stays on your credit report for 10 years.</p>
<p>But you can use the fresh start of a bankruptcy filing to stay on top of bills and debts. If you can continue to make on-time payments, your credit score will continue to rise and you will be able to take advantage of better interest rates on credit cars, loans, and other forms of credit as needed.</p>
    <p class="flow-text txt-wrap-left">In the case of a Chapter 13 Bankruptcy, the filing remains on your credit report for 7 years from the day you file. The bankruptcy filing may cause your credit score to drop a little if it is still good.</p>
    <h2 class="flow-text txt-wrap-left">Rebuilding Your Credit</h2>
    <h3 class="flow-text txt-wrap-left">Can I Still Get Credit After I File For Bankruptcy?</h3>

    <p class="flow-text txt-wrap-left">Under Chapter 13 Bankruptcy, you are not allowed to borrow or acquire any new debt under the repayment plan unless approved of by the Bankruptcy Court, and only under special circumstances. This lasts until the debt repayment plan is completed and the bankruptcy is discharged. By the end of your repayment period, the bankruptcy will still remain on your credit report but if all payments have been made on time this will help improve your credit score as all of your accounts become current. Filing for Chapter 13 could be especially helpful if you are facing, or already in, foreclosure.</p>
    
    <p class="flow-text txt-wrap-left">When it comes to Chapter 7, some lenders, often auto lenders, are willing to
    work with customers during and after their bankruptcy proceedings. The lenders are aware  that the customer's debt to income ratio has improved with the discharge of their debt. You would have to pay a higher interest rate but if you can make regular payments on time, your credit score should improve. Often times after one year of consistent on-time payments you could have the opportunity to refinance your car or trade it in and get a better interest rate.</p>
<h3>Can All Unsecured Debt Be Discharged?</h3>
<p>It should be noted that certain types of unsecured debt cannot be discharged through bankruptcy. For the most part, money owed for back taxes and student loan debt are not dischargeable.</p>
   <h2 class="flow-text txt-wrap-left">Credit Counseling and Debtor Education</h2>
   <h3 class="flow-text txt-wrap-left">Credit Counseling and Debtor Education Are Required by Bankruptcy Law</h3>
    <p class="flow-text txt-wrap-left">The Bankruptcy process exists not only to help you <i>eliminate and restructure debt</i>, but to help you avoid getting back in trouble with debt. That's why it's required that all filers for bankruptcy complete <a href="/faq/credit-counseling-and-bankruptcy">credit counseling and debtor education courses when filing for bankruptcy</a>.</p>
    <p class="flow-text txt-wrap-left">The credit counseling course is required before filing for bankruptcy and the debtor education course should be completed by the time you have your 341 Meeting. The 341 Meeting, also known as the Meeting of the Creditors is a hearing before the trustee overseeing your bankruptcy case. If you have a bankruptcy lawyer, they will be able to recommend a credit counseling agency.</p>

    <h3 class="flow-text txt-wrap-left">Representation You Can Rely On</h3>

<h4 class="flow-text txt-wrap-left">Filing for bankruptcy can be a complicated and detailed process, which is why you may want to consider hiring an experienced attorney.</h4>  
<p class="flow-text txt-wrap-left">A missed deadline or form, or undisclosed information can delay or even cause your bankruptcy case to be dismissed. An experienced bankruptcy attorney knows the process and the details and will work with you to make sure all of your information is in order so your case can proceed as smoothly as possible.</p>
<h2>The Walker Law Firm</h2>
<p class="flow-text txt-wrap-left"><strong>The Walker Law Firm works with clients struggling with debt throughout the Greater Dothan, Alabama area and can advise you on whether bankruptcy might be right for you</strong>.</p>
<p> If you think you may want file for bankruptcy, we offer a free bankruptcy evaluation where we can discuss your options.</p>

<p class="flow-text txt-wrap-left">Don't let debt overwhelm your life. If you are considering filing for bankruptcy, <a href="/clarke-walker-bankruptcy-attorney">Attorney, Clarke Walker</a> has 10 years of experience helping clients in the Dothan AL with their bankruptcy and debt relief needs. He can help you too if you are struggling with overwhelming debt. Contact us today for a free bankruptcy consultation.</p>
</div>

Are you under the impression that bankruptcy means you lose everything? Bankruptcy can actually protect your  assets.

What Happens When You File For Bankruptcy? About the Automatic Stay

FAQ - Does Bankruptcy Mean I Lose Everything?

Does Bankruptcy Mean I Lose Everything

FAQ - Bankruptcy and Repossession

FAQ -  Bankruptcy and Foreclosure

FAQ - Bankruptcy and Credit Counseling

FAQ - Bankruptcy and Your Credit Score

FAQ - What is a 341 Meeting?

Services

Services Chapter 7

Services - Chapter 13

<div class="txt-left-cont">

  <h1 class="center">Credit Counseling And Bankruptcy</h1>
  <img class="responsive-img img-wrap-right"
    src="/uploads/small_kelly_sikkema_3_Tc_5_LR_Or_M_unsplash_ee50076d60.jpg?25036327" alt="budget, credit counseling"/>

  <p class="flow-text txt-wrap-left">
    The decision to file for bankruptcy is not an easy one to make but the outcome can offer considerable relief with
    the reduction of debt. The intention is that if you are filing for bankruptcy you will get a fresh start on your
    finances. Under bankruptcy law, prior to filing for bankruptcy you must take a credit counseling course in which you
    would disclose your income, assets, and debts. The purpose is to make sure that you will be able to manage your
    budget and expenses, as well as to rule out other options to bankruptcy which could offer an alternative.
  </p>
  <h2>How Does Credit Counseling Work?</h2>
  <p>In general, anyone experiencing the burden of increased debt can benefit from the assistance a credit counseling agency. A credit counseling agency, also known as a debt counseling agency, can help an individual coping with debt settle or renegotiate their debts and financial accounts. Credit counseling agencies can also help people with planning and budgeting to help avoid getting into too much debt again. Through credit or debt counseling you can also find out if you might be a good candidate for bankruptcy.</p>


  <h2>How Does Credit Counseling Help Me With Bankruptcy?</h2>
  <p>While credit counseling agencies can help you figure out whether bankruptcy is right for you, you might have already visited a bankruptcy attorney to see if you would be a good candidate for bankruptcy.</p>









<p><strong>The Walker Law Firm works with bankruptcies throughout the Greater Dothan, Alabama area and can advise you on credit counseling and debtor education</strong>.</p>


  <p class="flow-text txt-wrap-left">After the bankruptcy petition has been filed, you would be required to take a
    debtor education course which offers strategies on how to maintain a budget and demonstrate that the petitioner has
    been educated in basic, personal financial management.
  </p>
  <h2>Both courses must be filed before the final order for discharge can take place</h2>
  <p class="flow-text txt-wrap-left">
    The good news is that the court approved credit counseling agencies are non-profit and relatively inexpensive, and
    that both courses can be taken online. If you are considering filing for bankruptcy and wondering what to expect as
    far as credit counseling or any aspect of the bankruptcy process, call our <a href="https://bankruptcylawhelpnow.com/">Dothan, Al Law Firm</a> today for a FREE consultation.
  </p>

</div>

Credit counseling and debtor education are required for all Chapter 13 and Chapter 7 Bankruptcy petitioners.

Credit Counseling Agencies And Bankruptcy - Solutions For Debt

Credit Counseling and Bankruptcy

<h1 class="center">Car Repossession and Bankruptcy</h1>

  <img class="responsive-img"
    src="/uploads/small_Car_being_towed_4d2e2f3e33.jpg?991451.7449999985" alt="car being towed, repossession"/>
  <h4>The Walker Law Firm works with bankruptcies in the Greater Dothan, Alabama area. We may be able to help if you have fallen behind on your car payments</h4>

    If you have been having difficulty making car payments as a result of job loss or reduction in hours, or you are
    finding that the weight of other expenses is making it difficult to maintain your car payments, bankruptcy can
    possibly offer relief from the threat of having your vehicle repossessed.</p>
<p><strong>The 
  <blockquote>
    <h3 class="lookslike-h4">Your options will likely depend on which type of bankruptcy filing is right
      for
      you.</h3>
  </blockquote>
  <p>Your options for a personal bankruptcy filing are <a href="/services/chapter-7">Chapter 7</a> and <a href="/services/chapter-13">Chapter 13</a>. Either
    way, the most immediate form of relief is the <strong>Automatic Stay.</strong> The Automatic Stay places nearly all
    collection activity, including collections on auto loans, on hold. The holder of the auto loan is temporarily barred
    from resuming collection activity.
  </p>

<blockquote>
  <h2 class="lookslike-h4">In some cases you may be able to keep your car and in others you could make a fresh start
    and get out from under
    the weight of owing much more than your car is worth.</h2>
</blockquote>
<h3><strong>Chapter 13 and Repossession</strong></h4>
  <p class="txt-wrap-right"> With a Chapter 13 bankruptcy filing one of your options could be arranging to
    keep your car as part of a repayment plan that is approved by the Bankruptcy Court. This process is known as
    reaffirming the debt and the repayment period usually lasts for 3 to 5 years. You would need to continue making
    payments on your car and arrange to repay any past due amounts including interest. As long as the payments are
    consistently made the auto lender cannot repossess the vehicle. If payments are missed, the lender can resume
    collection activity including repossession.
  </p>
  <p class="txt-wrap-right">
    Other options may be possible under Chapter 13 such as redeeming the vehicle for the value of the car in a lump sum
    as opposed to paying the amount owed which can often be much higher. In some cases you may be able to renegotiate
    the interest rate may or have of the length of the loan be extended so that the you can repay the amount owed while
    staying within your budget.
  </p>
  <h3><strong>Chapter 7 and Repossession</strong></h4>
    <p class="txt-wrap-right">
      Under Chapter 7 Bankruptcy you have the option to reaffirm your auto loan but depending on your circumstances, you may want
      to
      consider surrendering your vehicle to the lender, especially if the amount owed is much higher than the car's
      value.
      If you meet the means test for Chapter 7 Bankruptcy, any amount owed on the remaining balance for the auto loan, including
      interest and collection fees, can be discharged at the conclusion of the bankruptcy proceedings. This option can
      be
      especially attractive if the amount owed is significantly higher than its value, but also if the car has high
      mileage and may be in need of costly repairs. It is important to keep in mind that if you choose not to reaffirm
      your car loan, the lender can resume collections and repossession activities.</p>
    <p class="txt-wrap-right">Surrendering your vehicle under Chapter 7 Bankruptcy doesn't mean that you will be unable to
      obtain another car. Some lenders are willing to work with people filing for <strong>Chapter 7</strong> during and after the
      bankruptcy proceedings. While bankruptcy does stay on your record for a number of years, financing isn't always
      out
      of reach. Lenders who are willing to work with people during or immediately following Chapter 7 Bankruptcy will charge a
      higher interest rate but it still may be a better option than making payments on a car with high mileage and
      little
      value that may be in need of repairs as well.</p>
    <img class="responsive-img img-wrap-right"
      src="/uploads/small_pexels_gustavo_fring_4173191_639c65935b.jpg?1569391.9100000057" alt="bankruptcy, fresh start" />
    <p class="txt-wrap-right"> While taking on a loan for another car at a high interest rate may not seem like
      the best idea, it does offer you a chance to rebuild your credit by making consistent, on-time payments. This may
      be
      more feasible than some would think especially when non-secured debts are discharged, which can free up your
      budget
      to make monthly payments more easily. In many cases after one year of consistent, on-time payments are made it is
      possible to refinance your auto loan to a lower interest rate.</p>
    <h3>I'm not sure which option is best, can a bankruptcy attorney help?</h3>
    <p class="txt-wrap-right">If you plan on keeping your vehicle you do need to consider whether you can afford
      to maintain the payments and whether it would be worth it given your car's age, condition, as well as your own
      individual needs.</p>
    <p class="txt-wrap-right">An experienced bankruptcy attorney can help you figure out which option may be
      best in your case and will advocate on your behalf when it comes to dealing the Bankruptcy Court and your lenders.
      We are a <a href="https://bankruptcylawhelpnow.com">Dothan, AL Law Firm</a>. If you are struggling to make your car payment, accumulating overdue bills, or if you have any questions on Chapter 7 Bankruptcy, contact us today for a FREE consultation!</p>

If you are behind on car payments, facing repossession, or even if your car has been repossessed, bankruptcy may offer a solution.

Car Repossession and Bankruptcy

<h1 class="center">Do I Need A Foreclosure Attorney?</h1>
<h2>Facing Foreclosure?</h2>
<p>Are you behind on your mortgage payments and facing foreclosure, or already in foreclosure? If so, one option to stop foreclosure is to file for bankruptcy, Contact the Walker Law Firm today for a free consultation on <a href="/debt-relief">bankruptcy and debt relief</a>.</p>
<div class="img-right-txt-left">
  <img class="responsive-img"
    src="/uploads/small_residential_4562504_1280_87a925c39d.jpg?20026661.93" alt="house, stop foreclosure"/>

  <blockquote>
    <p>As a secured loan, a mortgage allows the lender to reclaim or repossess the
      property if payments are not made on the loan.</p>
  </blockquote>
 <h2>Bankruptcy As a Foreclosure Defense</h2>
<p>Bankruptcy will stop all foreclosure proceedings in their tracks at any time during the process, even if your home has been put up for auction. But you must act quickly and talk to a bankruptcy lawyer ASAP if you want to save your home and avoid eviction.</p>
<h2>Our foreclosure attorney can help you stop the legal action against your home</h2>
  <p>The process of repossession is known as foreclosure. Foreclosure is a complicated and time sensitive process that
    can lead to you having to give up your home. Bankruptcy can offer immediate relief through the Automatic Stay. Once
    a petition for bankruptcy has been filed, the Automatic Stay halts collection activities including those for overdue
    mortgage payments and foreclosure costs. While the outcome may differ depending on whether <a href="/chapter-7-vs-chapter-13">Chapter 7 or Chapter 13</a> is filed, the Automatic Stay will temporarily stop the foreclosure
    process, and any eviction proceedings that may have been initiated.
  </p>
<h2>My Home Is In Foreclosure, Can I Still Keep It?</h2>
<div class="img-left-txt-right">
  <p>For a petitioner who intends on keeping their home, <a href="/services/chapter-13">Chapter 13 </a> may be the best
    option. If you can realistically foresee being able to resume making payments, the payments can often be reduced as
    part of the Bankruptcy Court&rsquo;s approved repayment plan. 
<h2>Foreclosure Under Chapter 13</h2>
<p>The repayment plan tends to last from 3-5 years as
    part of the bankruptcy process. As long as all payments are made under the terms of the bankruptcy agreement, you
    can keep your home. In some cases, some mortgage related debt can be discharged and reduced permanent payments can
    be negotiated.
  </p>
<h2>Foreclosure Defense in Alabama: Contact A Foreclosure Attorney</h2>
<h4>The Walker Law Firm provides foreclosure defense in the Greater Dothan, Alabama area.</h4>
</div>
<p><strong>COURT ORDER NOT REQUIRED</strong></p>
<p>If you own a home in Alabama, it is important to be aware that Alabama is a non-judicial foreclosure state. What this means is that a court order is not required for a mortgage holder to take back the house or property and foreclose. This makes it more difficult for a foreclosure defense lawyer to help you  renegotiate or modify your mortgage, or to make a claim of wrongdoing on the part of the lender.</p>
<p><strong>NOTICE NOT REQUIRED</strong></p>
<p>In Alabama, the mortgage company will not always send you notice that your mortgage is in foreclosure, but they are required to publish a notice of foreclosure in a local newspaper for three weeks in a row. After this, the mortgage company can sell your house.</p>
<p><strong>STOP THE PROCEEDINGS IMMEDIATELY</strong></p>
<p>While the options for foreclosure defense may be limited in Alabama and other states that don't require a court proceeding for lenders to take a property back, filing for bankruptcy will halt the foreclosure process immediately. Foreclosure is a time sensitive process and if you are looking to keep your home, you need to act quickly and contact a foreclosure defense lawyer. Once your home is sold at auction it will be too late for Chapter 13 Bankruptcy to offer any protections.</p>
<h2>Your Repayment Plan</h2>
  <p>In general, since Chapter 13 Bankruptcy requires a repayment plan, the bankruptcy trustee must know that you are working or otherwise have a sustainable income. If this is the case, bankruptcy can give you the opportunity to repay any missed mortgage payments so you will be current in your payments by the time your Chapter 13 Bankruptcy is discharged.</p>
  <p>Under a Chapter 13 Bankruptcy, your monthly payments under the repayment plan are made to the bankruptcy trustee who in turn, transfers the money to your lender. The repayment plan can also include the opportunity to catch up on car payments, or payments on any other secured purchases.</p>
<h2>Should I Keep My Home?</h2>
  <p><strong>Foreclosure Under Chapter 7</strong></p>

<p>Under <a href="/services/chapter-7">Chapter 7</a> the Automatic Stay offers you time to negotiate payments with the
  lender. Chapter 7 also allows the mortgage to be discharged. If the mortgage is discharged the lender will be able
  to reclaim the property after the bankruptcy is discharged. While the you will likely need to find a new place to
  live, any debt related to the mortgage or foreclosure including the remaining balance of the mortgage, interest, late fees, and collection costs, is wiped out.</p>
<p>Sometimes this can be the preferred option if you don't believe you can afford to get caught up with your mortgage or make regular, on-time payments to the lender or mortgage holder. It can be an overwhelming decision to make. If you do choose to give up the home, you can usually continue to live there until the house is sold. If you are uncertain about the best choice under the circumstances, an experienced foreclosure defense attorney can help you decide what move would be in your best interest.</p>
  <img class="responsive-img"
    src="/uploads/small_scott_graham_5f_Nm_Wej4t_AA_unsplash_c1b3859960.jpg?24289405.46f" alt="bankruptcy attorney, stop foreclosure"/>
<h2>The Walker Law Firm: Foreclosure Attorney</h2>
  <p><strong>If you are behind on your mortgage payments, or facing the prospect of foreclosure or eviction, call us
      today for a FREE consultation with our foreclosure defense attorney!</strong></p>
  <p>We have a working knowledge of the bankruptcy process in Alabama and can help you keep your home. We are a <a href="https://bankruptcylawhelpnow.com/"> Dothan, AL Law Firm, our experienced foreclosure attorney is ready to hear your story</a>!</p>

</div>

Are you behind on mortgage payments, facing foreclosure or already in foreclosure? Chapter 13 Bankruptcy may be a solution.

Clarke Walker | Dothan Alabama Foreclosure Attorney, Bankruptcy Law

FAQ - Bankruptcy and Foreclosure

Can Bankruptcy Help Me Stop Foreclosure?

<div class="txt-left-cont">

  <h1 class="center">How Long Does Bankruptcy Stay on Your Credit Score</h1>
  <h3>Will My Credit Be Destroyed If I File For Bankruptcy?</h3>

  <img class="responsive-img img-wrap-right"
    src="/uploads/credit_card_gold_platinum_1512626_79e6eb4d37.jpg?9529788.875000013" alt= "borrowing, bankruptcy and your credit score"/>


  <p class="flow-text txt-wrap-left">The decision to file for bankruptcy is not to be taken likely. While it can offer a
    chance to get out from under crushing debt, it can also have a negative impact on your credit score. The damage is
    not however permanent and can give you a chance to establish a more positive credit profile. Depending on your
    circumstances, your credit score could go up not too long after your bankruptcy is discharged.
  </p>
<h4>The Walker Law Firm serves the Greater Dothan, Alabama area and can advise you on whether bankruptcy might be right for you.</h4>


  <p class="flow-text txt-wrap-left">After your bankruptcy is discharged, debts that are discharged should start to
    disappear from your credit report. As this happens, the removal of these collections and any record of the late
    payments on them may cause your credit score to increase slightly. This could especially be the case if your credit
    score had already been lowered by missed payments, collections, and defaulted accounts.
  </p>
  <h3>How Long Will A Bankruptcy Filing Stay On My Credit Report?</h3>
  <p class="flow-text txt-wrap-left">
    A <a href="/services/chapter-13">Chapter 13</a> filing will show up for 7 years and a <a href="/services/chapter-7">Chapter 7</a> filing will remain for 10 years. One key difference is
    that Chapter 13 takes 3 to 5 years to discharge and Chapter 7 can be finalized 3 months to one year after filing.
  </p>
  <h3>How Can I Rebuild My Credit After Bankruptcy?</h3>
  <p class="flow-text txt-wrap-left">
    Although having a bankruptcy on your credit score does have a negative effect, there are opportunities to rebuild
    your credit worthiness. Some lenders are willing to work with people who have bankruptcies on their records. Since
    many petitioners for Chapter 7 surrender their cars to the lenders, some auto financers recognize that they do
    comprise a market for car loans and that these potential customers have a reduced debt load as their debts get
    discharged.</p>
  <p class="flow-text txt-wrap-left">
    While the interest rates will be higher for people who have been in bankruptcy, bankruptcy petitioners get a chance
    to establish a record of consistent, on-time payments. As these payments continue to be made on time, opportunities
    to apply for credit at better interest rates could arise.
  </p>
<p><a href="https://bankruptcylawhelpnow.com/">The Walker Law Firm</a> serves the greater Dotham, Alabama area. If you are considering filing for bankruptcy contact us for a free consultation!</p>
</div>

Bankruptcy will show up on your credit report from 7-10 years. But you can still rebuild your credit.

How Long Does Bankruptcy Stay on Your Credit Score? 

How Long Does Bankruptcy Stay on Your Credit Score

<div class="txt-right-cont">

  <h1 class="center">What Is A 341 Meeting?</h1>
<img class="responsive-img img-wrap-left"
    src="/uploads/small_DSC_0548_16b741fb0a.JPG?22947196.375%22" alt="341 Meeting, Bankruptcy"/>

  <h2 class="flow-text txt-wrap-right">An important step in the bankruptcy process is the 341 Meeting, also known as the
    Meeting of the Creditors.</h2>
<h4>The Walker Law Firm works with bankruptcies throughout the Greater Dothan, Alabama area and will be there with you at your 341 Meeting.</h4>


  <p class="flow-text txt-wrap-right">
    The meeting is run by the assigned trustee to your bankruptcy case. The main purpose is for the trustee to screen
    for proper identification and to rule out fraud. In addition, the trustee will verify that you have taken the
    required debtor education courses. Another significant role for the the trustee is to determine whether a <a href="/services/chapter-7">Chapter 7</a> case has any non-exempt assets that can be sold to pay off creditors or can recommend to the Bankruptcy Court
    whether a <a href="/services/chapter-13">Chapter 13</a> repayment plan is feasible.
  </p>

  <p class="flow-text txt-wrap-right">In general, for a Chapter 7 341 Meeting the trustee will ask for identification to
    verify your identity. The trustee will also ask you, under oath, a series of questions involving the accuracy of
    your listed assets and whether there have been any changes to your finances.
  </p>

  <p class="flow-text txt-wrap-right"> At a Chapter 13 hearing the trustee will ask the same questions under oath but
    will also go over, and ask questions about your repayment plan.
  </p>
  <h3 class="flow-text txt-wrap-right">Although the 341 Meeting is also referred to as a Meeting of the Creditors, more
    often than not the creditors do not show up.</h3>
  <p class="flow-text txt-wrap-right">
    Creditors usually only show up if there is a suspicion of fraud on the part of the petitioner, or if an ex-spouse or
    former business partner suspects that the petitioner is hiding assets. In other cases a creditor who holds a secured
    loan could show up if the petitioner hasn't made a decision on whether they are attempting to keep the secured
    collateral.
  </p>
  <h3 class="flow-text txt-wrap-right">Attendance At The 341 Meeting Is Mandatory!</h3>
  <p class="flow-text txt-wrap-right">
    Whether you are filing under Chapter 7 or Chapter 13, you are required to attend the 341 Meeting. While this meeting
    is not a trial, it is a legal proceeding and you are required to swear under oath that the information you provide
    is accurate and truthful to the best of your knowledge. Having an experienced attorney to help you prepare for the
    341 Meeting and be at your side when you go before the trustee can be invaluable to the success of your hearing.
    <a href="https://bankruptcylawhelpnow.com/">The Walker Law</a> firm serves the greater Dotham, Alabama area with over 10 years of experience with bankruptcy and debt relief. Contact us today if you have any questions or if you would like to schedule a FREE evaluation!</p>
</div>

At the 341 Meeting, also known as a Meeting of the Creditors, the bankruptcy trustee will ask questions regarding your finances and assets.

What Is A 341 Meeting? 

What is A 341 Meeting? 

  <h1 class="center">What Is Chapter 13 Bankruptcy?</h1>
  
  <p class="flow-text txt-wrap-left">Bankruptcy filing often brings to mind a situation where someone loses everything they have. But in fact, both <a href="/faq/do-I-lose-everything">Chapter 7 and Chapter 13 Bankruptcy are meant to prevent this from happening. </a> If a petitioner has assets which they will want to keep, most significantly
    property used as a primary residence, filing for <a href="/chapter-7-vs-chapter-13">Chapter 13 Bankruptcy</a> may be preferable to Chapter 7 Bankruptcy.</p>
  <img class="responsive-img img-wrap-right"
    src="/uploads/small_Chpt_13_i_Stock_508338414_abc406d018.jpg?4689629.554999992" alt="form, filing, chapter 13, bankruptcy, bankruptcies, bankruptcy lawyer"/>
  <p class="flow-text txt-wrap-left"><strong>Chapter 13 Bankruptcy</strong> is a <i>legal reorganization of debt</i> with a repayment plan. The Repayment Plan must be approved by the Bankruptcy Court, which also oversees the proceedings. Consistent payments are necessary to have the
    bankruptcy petition discharged at the end of the repayment period. </p>
<p>In some cases, a petitioner can choose to switch
    from <a href="/services/chapter-7">Chapter 7 Bankruptcy</a> to Chapter 13 Bankruptcy or vice versa. This can be influenced by the means test or a desire to hold on to, or give up,
    certain assets or properties.
  </p>
<h2>We Can Help You With Chapter 13 Bankruptcy</h2>
<p><a href="https://bankruptcylawhelpnow.com/">The Walker Law Firm works with bankruptcy cases throughout the Greater Dothan, Alabama area</a> and can offer you advice on whether filing for <strong>bankruptcy</strong> might be right for you. The Walker Law Firm is a Debt Relief Agency. Chapter 13 Bankruptcy offers a legal means to stop the debt collection process and set up a debt repayment plan.</p>


  <h2 class="flow-text txt-wrap-left">Income and Your Bankruptcy Repayment Plan</h2>
  <p class="flow-text txt-wrap-left">Chapter 13 is a longer and more complicated process than Chapter 7 Bankruptcy. Because Chapter 13 Bankruptcy requires a repayment plan, you must have a steady income. For this reason, Chapter 13 is sometimes known as the "wage earners plan". Your income taxes and any payments owed for them must be current and on time in order to file.</p>
<p> There are also limits on how much debt you can owe under Chapter 13. According to bankruptcy law, the total amount of your unsecured debts, such as credit cards, personal loans, and payday loans, cannot be more than $394,725 and you can not have more than $1,184,200 total in secured debt which would include a home mortgage as well as a car loan.</p>
  
 <h3 class="flow-text txt-wrap-left">Advantages to Filing Chapter 13</h3>
 <p><ul>
 <li>You don't have to give up any property</li>
 <li>Chapter 13 gives you an opportunity to catch up on your late mortgage and car payments.</li>
 <li>Non-dischargeable debt as as money owed for taxes or domestic support can be paid back through the Chapter 13 Bankruptcy repayment plan</li>
 <li>You will have more time to pay back your creditors, while they are not allowed to contact you for debt collections.</li>
 </ul></p>


  <h2 class="flow-text txt-wrap-left">Mortgage and Foreclosure Under Chapter 13 Bankruptcy</h2>


   <p class="flow-text txt-wrap-left">If you are facing foreclosure or if the foreclosure process has already started, <a href="/faq/can-bankruptcy-help-me-stop-foreclosure">Chapter 13 Bankruptcy may help you keep your home</a>. If you think you would be able to resume making payments, the payments can sometimes be reduced as part of the debt repayment plan approved by the Bankruptcy Court.</p>
<p class="flow-text txt-wrap-left">The repayment plan lasts from 3-5 years as part of the bankruptcy process depending on your income. You will be able to keep your home as long as all payments are made under the terms of the repayment plan. In some cases the mortgage related debt can be discharged.</p>
<p>If you are a resident of Alabama and own a home, you should know that Alabama is what is known as a <i>non-judicial foreclosure state</i>. This means is that a mortgage holder to take back the house or property without having to obtain a court order. There are very few defenses to a foreclosure in Alabama but filing for Chapter 13 Bankruptcy will halt the foreclosure and sale of your home at auction.</p>
<p>Bankruptcy lawyers can help you stop the foreclosure process immediately. If you own a home in Alabama and think that you may be in danger of foreclosure or are already in foreclosure, you need to contact a <a href="/clarke-walker-bankruptcy-attorney">Bankruptcy Lawyer</a> right away.</p>

<h2>Keep Your Car With Chapter 13 Bankruptcy</h2>
<p>If you are behind on your auto loan payments or in danger of <a href="/faq/car-repossession-and-bankruptcy">having your car repossessed, Chapter 13 Bankruptcy</a> can help you keep your car. The automatic stay will ensure that the car cannot be repossessed for a period of time. But since the auto loan is a secured debt, meaning that the car itself is collateral, you will need to reaffirm the auto loan and pay back any past due amounts in order to keep the car.</p>
<p>With Chapter 7 Bankruptcy, this may not always be the most practical decision. Under Chapter 13 however, the remaining or most of the remaining payments and any past due amounts owed can be included the the debt repayment plan.</p>


  <h2 class="flow-text txt-wrap-left">What Happens To Your Debts Under Chapter 13 Bankruptcy?</h2>
   <h3 class="flow-text txt-wrap-left">The Automatic Stay Stops Nearly All Collection Activity Right Away</h3>
   <p class="flow-text txt-wrap-left">When you file for bankruptcy the Automatic Stay halts nearly all debt collections, including most wage garnishments, as well as mortgage payments. This is available for both <a href="/chapter-7-vs-chapter-13">Chapter 7 and Chapter 13 Bankruptcy</a>.</p>
<p class="flow-text txt-wrap-left">By law, debt collectors are not allowed to contact you for the purpose of collecting, negotiating, or settling your debts once your bankruptcy petition is filed. For unsecured debts such as credit cards, personal loans, medical bills, and even payday loans, the Automatic Stay remains in effect until the bankruptcy is discharged.</p>
  <h3 class="flow-text txt-wrap-left">Under the Automatic Stay, creditors are not allowed to pursue any of the following activities:</h3>
  <p class="flow-text txt-wrap-left"><ul>
  <li>Call, send letters, texts, or emails regarding any outstanding bills or payments that you owe</li>
  <li>Repossess your car or any other secured property</li>
  <li>Foreclose on your home or continue the foreclosure process if it has already been filed</li>
  <li>File or continue a lawsuit for any collections owed</li>
  <li>File or continue with any wage garnishments</li>
  <li>Place a lien on your property</li>
  </ul></p>


   <p class="flow-text txt-wrap-left">The Automatic Stay against debt collection activity remains in place throughout the term of the bankruptcy proceedings but once a repayment plan is approved of by the Bankruptcy Court, payments for the mortgage must resume.</p>

   <h2 class="flow-text txt-wrap-left">Exempt and Non-Exempt Assets Under Chapter 13 Bankruptcy</h2>
   <p class="flow-text txt-wrap-left">The goal of your debt repayment plan is to allow you to keep all of your property including your house and car while you repay all of your debts to your creditors. Under the <strong>Chapter 13 repayment plan</strong> you are generally not required to sell any property to pay your debt, but if you own significant amounts non-exempt property then your monthly payments to your creditors under your repayment plan are likely to be higher.</p>
<p>The Trustee or Administrator overseeing your bankruptcy case can sell off non-exempt property to pay your unsecured debts if your income isn't high enough to include some of these debts in your repayment plan. But a plan that relies too much on the selling off of non-exempt assets in order to pay outstanding debts may not be approved by the Bankruptcy Court.</p>

<h3>The Homestead Exemption</h3>
   <p class="flow-text txt-wrap-left">Under federal bankruptcy law, a certain amount of equity in your home is considered exempt and protected from being sold off to pay your creditors. This is known as the Homestead Exemption and the amount varies by state. If you are living in Alabama, contact an <a href="/clarke-walker-bankruptcy-attorney">attorney familiar with the bankruptcy laws in Alabama</a> for more information on how much of your home equity would be protected by the homestead exemption under Chapter 13.</p>
   <h3 class="flow-text txt-wrap-left">What possessions of mine are exempt according to bankruptcy law?</h3
  <p class="flow-text txt-wrap-left">Basic household possessions and some of the equity in your car are considered exempt and protected under Chapter 13 Bankruptcy.</p>
<p>Luxury items, high value collectibles, or vacation homes however are not protected. Under bankruptcy law, most retirement accounts are fully exempt and protected from creditors. </p>
   

   <h2 class="flow-text txt-wrap-left">The Trustee and Administrator</h2>
   <p class="flow-text txt-wrap-left">When you file for bankruptcy your case will be assigned to a Trustee acting under the U.S. Trustee Program and will oversee your bankruptcy proceedings. The only exceptions being in the states of Alabama and North Carolina where bankruptcy cases are overseen by the Bankruptcy Administration. In these states a Bankruptcy Administrator oversees your case.</p>
   <p>If you live in Alabama, contact one of the most <a href="/clarke-walker-bankruptcy-attorney">experienced bankruptcy attorneys serving the Dothan, Alabama area</a> for more information on how this could affect your case. The Walker Law Firm offers a free consultation.</p>

 

   <h3 class="flow-text txt-wrap-left">Your Chapter 13 filing must include:</h3>
   <p><ul>
   <li>The names of all of your creditors and how much you owe to each one of them</li>
   <li>A list of your property, valuables, and assets including financial accounts</li>
   <li>Documentation of all sources of income</li>
   <li>Your monthly living expenses</li>
   <li>Your recent tax information including tax returns and statements of any amounts owed for back taxes</li>
   <li>The certificate of completion for your credit counseling course</li>
   </ul></p>
   <p class="flow-text txt-wrap-left"><strong>You will also need to submit your proposed Chapter 13 repayment plan for your debts to the court within 14 days of filing your petition.</strong> Missing, outdated, or incorrect information can cause your case to be delayed or even dismissed. For this reason, you may want to consider consulting or retaining a <a href=" https://bankruptcylawhelpnow.com/">skilled bankruptcy attorney</a> to help ensure that all of the necessary information and documents are correctly filed with your bankruptcy petition.</p>
<p> As with Chapter 7, <a href="/faq/credit-counseling-and-bankruptcy">Chapter 13 Bankruptcy requires that credit counseling and debtor education courses</a> be completed. These courses are intended to gauge whether bankruptcy might be right for you and to help with personal finance strategies to avoid getting into debt again.</p>
<h4>Many accredited credit counseling and debtor education courses can be taken online. </h4>
<p>Your <a href="/clarke-walker-bankruptcy-attorney"> bankruptcy attorney</a> would likely be able to recommend an agency that can help you complete these courses. Credit counseling can also help you determine whether there are alternatives to filing bankruptcy such as <i>debt consolidation</i>, an out of court repayment plan, or refinance options.</p>

   <h2>What is A 341 Meeting?</h2>
   <p class="flow-text txt-wrap-left">The<a href="/what-is-a-341-meeting"> 341 Meeting</a>, also known as a Meeting of the Creditors will be scheduled with the Bankruptcy Trustee or Administrator as you bankruptcy case proceeds. You will meet with the Trustee or Administrator at this meeting and your bankruptcy lawyer will be there with you if you have one.</p>
<h5>At this meeting you will swear under oath that the information that you provided in your Chapter 13 petition is true.</h5>
  <p class="flow-text txt-wrap-left">You will need to verify your identity and you will be asked questions about your debt repayment plan. You will also be asked a number of questions by the Trustee based on the information you provided in your bankruptcy petition. The Trustee or Administrator will also want to confirm that you have taken both the Credit Counseling and Debtor Education courses as required under bankruptcy law.</p>
<p> The 341 Meeting is not a trial but it is a legal proceeding that requires you to swear under oath. Consider having a lawyer <a href="/clarke-walker-bankruptcy-attorney"> experienced with bankruptcy</a> at your side for the 341 Meeting as well as the entire bankruptcy process.</a></p>

  <h2 class="flow-text txt-wrap-left">Chapter 13 and Your Debt Repayment Plan</h2>

  <p class="flow-text txt-wrap-left">Within 45 days of your 341 Meeting a confirmation hearing will be held where a bankruptcy judge will determine whether you can proceed with your repayment plan under Chapter 13. The bankruptcy judge mostly needs to make a decision on whether your plan is feasible according to the information that you submitted, and that your plan is in compliance with Bankruptcy law and filed in good faith.</p>
 <p class="flow-text txt-wrap-left"> The length of a repayment plan under Chapter 13 is based on your income. If your income is below the median income in your state your plan will last for 3 years. If your income is above the median amount then you are required to use the 5 year plan to pay back your debts.</p>
<p class="flow-text txt-wrap-left">Even if you have not gotten an answer from the Bankruptcy Court regarding your repayment plan, you are expected to start making the payments on the plan 30 days after you initially file for bankruptcy. <a href="/clarke-walker-bankruptcy-attorney"></p>
<p> An attorney experienced with bankruptcy</a> may be able to give you an idea on whether your repayment plan will be accepted by the Court.</p>

  <p>If your bankruptcy repayment plan is approved you will make your monthly debt payments directly to the Trustee or Administrator who will then make the payments to your creditors.</p>
<p>Depending on your circumstances your repayment plan under Chapter 13 may include your mortgage payment along with any past due amounts owed and it other cases you might continue to pay your mortgage lender directly and pay off any back due amounts through your repayment plan. Either way, it is essential that you keep to the terms of the repayment plan or your mortgage if you continue to pay your lender directly.</p>
  <p>Failure to keep your payments current could put you in danger of having your Chapter 13 Bankruptcy case dismissed or converted to a Chapter 7 case. In some cases you may be able to modify your agreement if your financial situation gets worse but you need to stay in touch with the Trustee or Administrator and let them know if there is a problem.</p>
<p> You also do have the option to accelerate your payments and having your bankruptcy discharged early.</p>

 <p class="flow-text-wrap-left">According to your Chapter 13 repayment plan, the cost of the bankruptcy proceeding and any taxes you owe take priority followed by debts secured by collateral, like your house and car. Unsecured debts, such as credit card debt, medical bills, and payday loans need to be paid during the term of the repayment plan but sometimes any amounts remaining after completion of the plan can be discharged.</p>
<h4>Also, it is important to note that not all debts can be discharged under Chapter 13.</h4><p>Any debts incurred as a result of fraud or for child support are not discharged under bankruptcy law. In most cases student loan debt or money owed to the IRS for back tax payments are not dischargeable according to the bankruptcy code. An <a href="/clarke-walker-bankruptcy-attorney">attorney experienced with Chapter 13 Bankruptcy</a> would be able to answer your questions what if any debts could be dischargeable under Chapter 13 Bankruptcy.</p>
<h3 class="flow-text-wrap-left">How long does my Chapter 13 filing stay on my Credit Report?</h3>
 <p>Unlike Chapter 7 which stays on your credit report for 10 years, <a href="/faq/how-long-does-bankruptcy-stay-on-your-credit-score">Chapter 13 will remain on your credit report for 7 years</a> after your case is discharged. Having any bankruptcy filing on your credit report and can make it difficult to borrow since lenders may see you as a risk. But when you file Chapter 13, you are not allowed to borrow, apply for loans, or attempt to get any additional credit under the terms of the repayment plan for the duration of the your bankruptcy case. In certain cases the Bankruptcy Court will allow you to apply for a loan or otherwise obtain credit, but only under certain circumstances such as an emergency.</p>

<h4>Considering Chapter 13? Before You File Go It Alone, Contact the Walker Law Firm</h4>
<p class="flow-text txt-wrap-left">Since Chapter 13 Bankruptcy is as complicated legal process it is highly recommended that you have a <a href="/clarke-walker-bankruptcy-attorney">skilled and experienced bankruptcy attorney</a> working for you.</p>
   <p class="flow-text txt-wrap-left">Maybe you are thinking about bankruptcy but not sure whether to file <a href="/chapter-7-vs-chapter-13">Chapter 7 or Chapter 13 Bankruptcy</a>. A <a href="https://bankruptcylawhelpnow.com/faq/do-I-need-a-bankruptcy-attorney">bankruptcy lawyer experienced with Chapter 7 and Chapter 13 Bankruptcy</a> can help you figure out what would work best for your situation. Clarke Walker has 10 years of experience helping residents of the greater Dothan, Alabama area with bankruptcy and debt relief. Clarke Walker is dedicated to his <a href="/testimonials">Chapter 7 and Chapter 13 Bankruptcy clients, see for yourself.</a></p>
<h5>Contact the Walker Law Firm for a FREE bankruptcy consultation!</h5>


Chapter 13 Bankruptcy allows you to seek debt relief through debt restructuring and a court approved repayment plan.

What Is Chapter 13 Bankruptcy? Debt Management and Reduction

Chapter 13 Bankruptcy

<div class="txt-right-cont">
<h1 class="center">What Is Chapter 7 Bankruptcy</h1>
<p class="flow-text txt-wrap-left">What is Chapter 7 Bankruptcy? Technically, it is a liquidation of non-exempt assets that are used to pay off creditors. But in reality, people who file for Chapter 7 Bankruptcy almost never need to give up their most basic possessions.</p>
<p><img class="responsive-img img-wrap-right" src="/uploads/small_Chpt_7_i_Stock_508338720_05e9096a97.jpg?3005212.434999994" alt="file, chapter 7, bankruptcy, get out of debt, stop creditors, bankruptcy form"/></p>
<p class="flow-text txt-wrap-left">In a nutshell, Chapter 7 Bankruptcy is a legal process designed to allow unsecured debt, such as credit cards and medical bills, to be discharged. This means the debts  are eliminated and you do not have to pay them back. In rare cases, assets that are not considered exempt can be liquidated, meaning sold off, to pay your creditors. </p>

<p>It should however be noted that most assets can be exempt from liquidation and in many cases if you file for Chapter 7  you do not actually have to sell off any of your possessions in order to pay off your debts. The Bankruptcy Court takes into consideration your income and the amount spent on essential needs such as mortgage/rent, food, clothing, and medical expenses in your Chapter 7 petition.</p>
<h3>The Walker Law Firm works with bankruptcies throughout the Greater Dothan, Alabama area and can advise you on whether bankruptcy might be right for you.</h3>


<h2>Should I Consider Filing For Chapter 7 Bankruptcy?</h2>
<p>In general, it could be a good idea to file for Chapter 7 Bankruptcy if the total amount of your debt is more than half your annual income and if it would would take at least five years to pay off your debts. Or, if the amount of debt you owe causes continued stress in your life and affects your ability to sleep or your work performance. If you have little to no disposable income and your monthly income is below the median level in your state, filing for Chapter 7 Bankruptcy might be right for you.</p>
<h2>What Happens Under Chapter 7 Bankruptcy? Will Creditors Still Call?</h2>
<h3>The Automatic Stay Stops Nearly All Collection Activity Right Away</h3>
<p>When you file for bankruptcy the Automatic Stay halts nearly all collections including most wage garnishments against you. By law, debt collectors are not allowed to contact you for the purpose of collecting, negotiating, or settling your debt with them after you file for bankruptcy. For unsecured debts such as credit cards, personal loans, medical bills, and even payday loans, the Automatic Stay remains in effect until the bankruptcy is discharged.</p>
<p>For a secured debt such as a car loan, the creditor can <a href="/faq/car-repossession-and-bankruptcy"> repossess the car under Chapter 7 Bankruptcy</a> before the bankruptcy is discharged. The Automatic Stay still offers you time to make a decision on whether to keep your car and pay it off or get current on your payments. You can also give up the car and have the remaining payments and debt discharged. This would apply to any other properties that are not fully paid and on your bankruptcy schedules. </p>
<p>Debt owed for child support or debts that were incurred fraudulently are not halted by the Automatic Stay under bankruptcy law.</p>
<h2>The Role of the U.S. Trustee and Bankruptcy Administrator</h2>
<p><strong>The Trustee or Administrator who reviews your case will make a determination as to how much, if any, of your assets are non-exempt according to a means test</strong>.</p>
<p>When you file for Chapter 7 Bankruptcy your case will be assigned to a Trustee acting under the U.S. Trustee Program who will oversee your <i>bankruptcy proceedings</i>. The only exceptions are the states of Alabama and North Carolina where bankruptcy cases are overseen by the Bankruptcy Administration. In these states a Bankruptcy Administrator oversees your case. If you live in Alabama, contact an <a href="/clarke-walker-bankruptcy-attorney">experienced Chapter 7 Bankruptcy attorney serving Dothan, Alabama</a> for more information on how this could affect your Chapter 7 Bankruptcy case.</p>
<h2>Credit Counseling is required before you file for Bankruptcy</h2>
<p><a href="/faq/credit-counseling-and-bankruptcy">Credit counseling courses, required by bankruptcy law</a>, can be completed online and tend to be run by non-profit agencies approved by the U.S. Trustee Program. If you are considering filing for Chapter 7 Bankruptcy, a bankruptcy attorney can be helpful with suggesting a credit counseling agency. The credit counseling agencies can also help you to see whether alternatives such as debt consolidation or debt settlement might be right for you.</p>
<p>When taking the course, you will be asked questions about your income, rent or mortgage, utility bills, credit cards, as well as other debts and expenses. There will also be questions on your personal property and assets including any checking, savings, or retirement accounts.</p>
<p>The course also pre-determines whether your assets would be considered non-exempt under your Chapter 7 Bankruptcy case. After you have completed the course a certificate is sent to you and your bankruptcy attorney. This needs to be included with the information in your bankruptcy filing.</p>

<h2>Your Assets in a Chapter 7 Bankruptcy Case</h2>
<h3>Exempt and Non-Exempt Assets</h3>

<p>Under Chapter 7 Bankruptcy there is a means test that takes into account your income and assets in determining whether any of your personal property would need to be sold. Some personal property will automatically be considered exempt such as clothing, a car that is paid in full, basic furniture and household necessities.</p>
<p> The benchmark varies by state law so if you live in Alabama you can <a href="/clarke-walker-bankruptcy-attorney">contact an attorney familiar with the Chapter 7 Bankruptcy laws in Alabama</a> for more information.</p>
<h3>The Chapter 7 Means Test</h3>
<p>If you fall below the benchmark for the means test then all of your personal belongings, possessions, and financial accounts will be considered exempt. If according to the means test you are above the line, then the Trustee or Administrator can sell off certain assets that you own in order to pay off your debts to your creditors.</p>
<p>In the overwhelming majority of Chapter 7 cases, the filers assets are considered exempt so your personal property and possessions would most likely be protected from your creditors.</p>

<h2>Unsecured Debt</h2>
<p><strong>Unsecured debt</strong> is debt with no collateral such as personal loans and medical bills. Under Chapter 7 Bankruptcy, these debts are often discharged when the bankruptcy is fully discharged.</p>
<p>In general, bankruptcy petitioners with large amounts of unsecured debt and who are not looking to keep their house or continue making car payments, are good candidates for Chapter 7 Bankruptcy.</p>
<h2>Secured Debt</h2>
<p><strong>Loan affirmation</strong></p>
<p><strong>Secured debt</strong>, is debt that is secured by collateral like an automobile loan. It is possible to keep your car but under Chapter 7 you would need to pay back any past due amounts owed and would need to reaffirm the loan and resume on-time payments.</p> 
<p>The problem with this option is that if you have already missed payments, or have extended the term of your loan, you may find yourself owing much more than the car's value. Additionally, if the car is in need of repairs, this would add more to the expense of keeping it.</p>
<p>If you are considering Chapter 7 Bankruptcy but you feel that you can afford to keep your car, you would need to reaffirm the loan with the lender under Chapter 7. They will send you or your bankruptcy lawyer a form asking you to reaffirm the debt and they will likely want you to pay back the past due amounts promptly. In rare cases lenders will be willing to renegotiate the loan but more often they are not willing to do so.</p>
<p>One drawback to affirming the loan is that if you find yourself unable to make the payments following the discharge of your bankruptcy, there are no bankruptcy protections preventing them from repossessing your car.</p>
<p>Discharge of secured debt under Chapter 7</p>
<p>With Chapter 7 Bankruptcy you do have the option of surrendering the car and having all of the past amounts due along with any amounts owed for duration of the loan discharged. In other words, you can walk away from the car and the loan. Many filers for Chapter 7 choose this option.</p>
<p> You would inform the lender that you do not wish to keep the car and do not intend on making past or future payments that are due on your auto loan.</p>
<p>If you choose this option, the advantage is that all of the past payments, interest, and late fees are discharged under Chapter 7. Also, the future loan payments owed are also discharged under Chapter 7 and you are not responsible for any repairs that need to be made to the car.</p>
<p>What you do need to consider is that at that point, the lender can repossess the car. The lender also doesn't have to inform you when they plan on doing so. You can make arrangements with the lender to surrender the car or have them pick it up.</p>
<p><strong>If I lose my car, how do I get around</strong>?</p>
<p>You may be asking yourself this very question, but Chapter 7 does not mean you will necessarily be without a vehicle.</p>
<p>When the Automatic Stay goes into effect, you are temporarily relieved of making any debt or loan payments you may have. So if you are working or have a steady income, you would have the opportunity to save some money to purchase an inexpensive used car since you are keeping more of the money you make.</p>
<p>There are also auto lenders that are willing to work with people who file for Chapter 7 Bankruptcy and are looking to purchase a new or late-model used car. In some cases they may work with you even before your bankruptcy is discharged. You will likely have to pay a sub-prime, or higher interest rate on your auto loan but if you can make all of your payments on time for roughly one year you could have to opportunity to improve your credit score and possibly refinance or trade your car in for a better rate on a car loan.</p>
<h2>What if I own a home?</h2>
<p>If you own a home and are looking to keep it, Chapter 7 Bankruptcy may not be your best option. It may be possible under Chapter 7 if you are current on your mortgage loan and you do not have too much equity in your home. But if there is significant equity in your home the trustee in charge of your case can use that to pay off other creditors and you could lose your home.</p>
<p> If you do own a home and are considering bankruptcy, you may want to consider filing for <a href="/services/chapter-13">Chapter 13 Bankruptcy instead of Chapter 7 Bankruptcy</a>.</p>
<h3>Can All Unsecured Debt Be Discharged Under Bankruptcy?</h3>
<p>Under the federal bankruptcy code, certain debts are not dischargeable through Chapter 7. Debt for child support, debts created through fraudulent means, or debt from court-ordered restitution payments for criminal convictions cannot be discharged under bankruptcy law. Money owed for tax payments or student loans most often cannot be discharged under Chapter 7.</p>
<h2>Final Discharge Under Chapter 7 Bankruptcy</h2>
<p><strong>Prior to the discharge of your case, a Debtor Education course is required</strong>.</p>
<p>Before your bankruptcy debts can be discharged under Chapter 7, you are also required to take a Debtor Education course. Similar to the Credit Counseling course, this course can be taken through an U.S. Trustee Program approved service or through the Bankruptcy Administration, depending on the state where you live.</p>
<p>The purpose of the Debtor Education course is to teach you about financial management to avoid getting back into the excessive type of debt that caused you to seek bankruptcy relief. It will help you with budgeting strategies that can keep you from falling back into debt.  </p>

<p>At this point a <a href="/what-is-a-341-meeting">341 Meeting for your Chapter 7 Bankruptcy</a>, also known as a Meeting of the Creditors is scheduled. You will meet with the Trustee at this meeting and if you have a bankruptcy attorney, your attorney will be there with you. In most cases, the creditors do not necessarily come to the meeting in cases unless fraud is suspected.</p>
<p>At this meeting you will swear under oath that the information that you provided to the Trustee through your Credit Counseling Course and your  Chapter 7 filing is true. You will likely be asked a number of questions by the Trustee based on the information you provided in your Chapter 7 Bankruptcy petition and will also be required to confirm your identity.</p>
<p>The Trustee or Administrator will also want to confirm that you have taken both the Credit Counseling and Debtor Education courses as required under bankruptcy law.</p>
<p>The 341 Meeting is not a trial but it is a legal proceeding that requires you to swear under oath. Consider having an <a href="/clarke-walker-bankruptcy-attorney">attorney experienced with Chapter 7 Bankruptcy</a> at your side for the 341 Meeting as well as the entire bankruptcy process.</a></p>
<p>Following the 341 Meeting, your bankruptcy case may be further reviewed but if all of the information that you provided is correct and there are no challenges to your case, your case will be discharged. This can sometimes take up to one year but in some cases Chapter 7 Bankruptcy discharges can be concluded in as little as 30 days.</p>
<h2>What About My Credit Score?</h2>
<p>When your Chapter 7 Bankruptcy is filed and then discharged, it will show up on your credit report, on which your credit score is determined.</p>
<p>Following discharge of your case, <a href="/faq/how-long-does-bankruptcy-stay-on-your-credit-score">Chapter 7 Bankruptcy will remain on your credit report for 10 years</a>. While this is a negative mark, people who file for Chapter 7 can actually see their credit score rise after discharge, and in some cases after filing. </p>
<p>While the bankruptcy is a negative mark, your credit score may rise as your creditors are informed of your filing. Since most creditors will not dispute your filing, a few might begin to remove the debts that you owe them after you file.</p>
<p>After the discharge of your Chapter 7 Bankruptcy even more of your debt, loans, and collections will disappear as the accounts are closed and the debt is discharged. This applies to all dischargeable debt including credit cards, personal and payday loans, and collection accounts.</p>
<p>As the debts and collections disappear, your credit score could rise. At this point it is up to you to maintain your improved credit by making on-time payments. As more on-time payments are recorded your credit score could increase which may allow you to borrow or refinance at lower interest rates. In this way, filing for Chapter 7 Bankruptcy offers you a chance to actually rebuild your credit.</p>

<h2>Can I File For Chapter 7 Bankruptcy Without A Lawyer?</h2>
<p><i>Yes, you can but filing for Chapter 7 can be a complicated and detailed process.</i></p> 
<h2>Considering Chapter 7 Bankruptcy? Contact Us Today!</h2>
<p>Accuracy is essential and if deadlines are not met or you don't provide the right information, your bankruptcy case could be dismissed. Having the right <a href="/clarke-walker-bankruptcy-attorney">bankruptcy attorney for your Chapter 7 Bankruptcy petition</a> can help make sure that you get most financial relief possible and avoid costly mistakes.</p>
<p>Maybe you are thinking about bankruptcy but not sure whether to file bankruptcy. If you are wondering if <a href="/faq/do-I-need-a-bankruptcy-attorney">you need a bankruptcy attorney experienced with Chapter 7 Bankruptcy</a>, contact us today. Clarke Walker is among the most experienced bankruptcy attorneys in the Dothan, AL area and can help you figure out what would work best for you. Before you decide to file bankruptcy on your own, contact the Walker Law Firm for a FREE bankruptcy consultation! We serve the Greater Dothan, Alabama area.</p>
</div>

Chapter 7 Bankruptcy allows a petitioner to have most of their non-secured debt discharged. In most cases, no assets need to be sold or liquidated.