Frequently asked questions
Answers to the questions we hear most
Every situation is different, and a free consultation is the best way to get answers about yours. These are the questions people ask us most often.
The basics
What bankruptcy is and how it helps
What is bankruptcy?
Bankruptcy is a case in federal court that releases you from your legal obligation to pay certain debts, or lets you repay them on a schedule you can afford. Northeast Ohio cases are filed in the U.S. Bankruptcy Court for the Northern District of Ohio. See Bankruptcy 101 for the basics.
What's the difference between Chapter 7 and Chapter 13?
Chapter 7 erases qualifying debts, usually in about four months. Chapter 13 is a three- to five-year repayment plan, often used to catch up on a house or car. Businesses and family farms use other chapters.
What happens as soon as I file?
A court order called the automatic stay takes effect. Most creditors have to stop calling, suing, garnishing your wages and pursuing foreclosure or repossession.
Will bankruptcy stop a utility shutoff?
Generally, yes. The old balance can be dealt with in the case, and a utility that has already disconnected you usually has to restore service, though it may ask for a deposit.
Your property
What you keep
Will I lose everything if I file?
No. Ohio's exemptions protect most of what an ordinary household owns. In most cases, there's nothing the trustee can take.
Can I keep my house and car?
Usually. It depends on your equity and whether you're current on the loans. If you're behind, Chapter 13 lets you catch up. Read how we stop foreclosures.
What about my retirement savings?
401(k)s, IRAs, pensions and most other tax-qualified retirement accounts are generally protected. Don't cash them out to pay credit cards before talking to us.
Your credit and family
Life after filing
How will bankruptcy affect my credit?
A bankruptcy can stay on your credit report for up to ten years, but it gives you a fresh start, not a clean slate. With fewer debts, many people start rebuilding their credit within a few years.
Should my spouse and I file together?
Not always, but if you both owe the same debts, filing together usually gives the best protection. Otherwise the creditor can collect from the spouse who didn't file.
Can I get rid of student loans?
Usually not. Student loans can only be discharged if repaying them would cause undue hardship, which takes a separate court case. Chapter 13 can still help you manage them alongside other debts.
Will my employer find out?
The court doesn't notify your employer. If your wages are being garnished, payroll will see the garnishment stop, or a Chapter 13 plan may be paid through a payroll deduction.
Getting started
Cost and your first meeting
How much does bankruptcy cost?
Call us and we can give you an estimate over the phone. After we meet and review your situation, we quote an exact fee, before you decide anything.
How do I set up a free consultation?
Call 330-605-3508 or request a time online. Meet at our Belden Village office, by phone or by video. If you're facing a sale date, hearing or garnishment, tell us so we can see you quickly.
What should I bring?
Recent bills and collection letters, your two most recent pay stubs, your latest tax return and any court papers. Our Resources page has the full list for later.
Still have questions?
The first consultation is free and there's no obligation to file.