Filing Bankruptcy in Houston
In today’s tough economy, more and more people are deciding to file bankruptcy in Houston to get the fresh start they need to move on with their lives. If you are considering this option, gaining familiarity with Houston bankruptcy law will help you make the best decisions for your situation.
Types of bankruptcy
The first step is to determine which type of bankruptcy is appropriate for you. When you decide to file bankruptcy in Houston, you will obtain the best results by engaging an experienced Houston bankruptcy attorney to help you choose from the following types of bankruptcy:
- Chapter 7 bankruptcy: Often called liquidation, Chapter 7 generally offers the simplest and quickest bankruptcy solution. Available to individuals and businesses, the court appoints a trustee to sell certain property, using funds acquired by the sale to pay your creditors.
- Chapter 11 bankruptcy: Although individuals may qualify for Chapter 11, businesses most commonly file this form of bankruptcy. Often referred to as business reorganization, qualified businesses can restructure their debt payments over a longer period of time while continuing to operate their businesses.
- Chapter 13 bankruptcy: Both individuals and sole proprietors of businesses can pay off all or part of their debt by extending the debt payments to a period generally no more than five years.
Types of debt
Even in a Chapter 7 bankruptcy, some debt must be repaid. While unbacked unsecured debt (for example, credit card debt) might be eliminated, secured debt, backed by property or law, is another matter. Secured debt, like mortgages, taxes, child support, alimony, and most student loans, must be repaid. Your Houston bankruptcy lawyer will identify any secured debt you have and will explain how this debt must be handled.
The bankruptcy process
The procedures that you will undergo to file bankruptcy vary based on the type of bankruptcy you have chosen. In general terms, any bankruptcy filing will follow a process similar to the following:
- Obtaining credit counseling, which is a requirement to filing
- Choosing the right type of bankruptcy based on your situation
- Gathering detailed financial information that will be needed to file the required bankruptcy schedules
- Filing a petition for bankruptcy within the court
- Working with court-appointed trustees and creditors to reduce or eliminate your debt based on the type of bankruptcy being filed
- Finalizing the process that must be followed for repayment or dissolution of debt in court
- Working through the bankruptcy process to obtain a fresh start
Getting the legal assistance you need
The assistance of a qualified bankruptcy lawyer in Houston will be valuable in working through the complex bankruptcy process for the most efficient debt resolution. The Houston bankruptcy lawyers at the Law Offices of Jack N. Fuerst, P.C. have extensive experience representing consumers or businesses facing bankruptcy. We understand the difficult circumstances facing clients undergoing a bankruptcy, and we provide professional, yet approachable representation for all of our clients. Contact us at 1-866-641-0123 or through our convenient online form to tell us about your situation.
