People who are looking for a clean financial slate often file for bankruptcy. A bankruptcy discharge allows individuals to be free from creditors’ phone calls and it allows them to rebuild their credit while having a solution that eliminates a lot of financial stress. However, it is important for debtors to remember that the bankruptcy process is complicated, and it can be difficult to know where to begin. There are several common bankruptcy questions that individuals ask when they are considering filing a bankruptcy petition.
Can You Lose Your Employment?
It is against the law for an employer to discriminate against an employee because of a bankruptcy filing. Individuals can also be assured that employers will not know about their bankruptcy filing unless the employer specifically searches databases for that information.
What Happens To Your Credit?
Another one of the most common bankruptcy questions asked involves credit. You can expect your credit to be negatively impacted by a bankruptcy filing. It is critical, however, that individuals develop a plan for financial recovery. This plan should include reestablishing credit after the bankruptcy has been discharged. The financial plan that is established should also be reflective of the type of bankruptcy that has been filed.
A Chapter 7 bankruptcy discharge will remain on your credit report for a period of 10 years, while a Chapter 13 bankruptcy discharge will stay on your credit report for a period of 7 years. A consultation with an experienced bankruptcy attorney in your area will help you determine the type of bankruptcy you should consider based on your individual needs.
Will You Lose Your Home?
When you file for bankruptcy, the fate of your house will depend on the type of bankruptcy you file. Once again, you should speak with a knowledgeable bankruptcy attorney so you will have a better understanding of how you and your property can be affected, and which type of filing will be the most beneficial to you.
Bankruptcy is a very complicated legal process. The most common bankruptcy questions can be best answered by a bankruptcy lawyer who has plenty of knowledge about the proceedings in your state.
To find out more about the bankruptcy law in Georgia, contact a bankruptcy attorney at Douglas Jacobson Law Firm today.