Kingston, NY Bankruptcy Questions
Serving all of Ulster and Dutchess Counties, as well as Orange, Sullivan, Columbia and Greene Counties
Frequently Asked Questions
Take a look at our list of frequently asked questions—including bankruptcy terms, credit concerns, and more. If by chance your question isn’t addressed here then call our office at 845-339-4313.
Question: What is bankruptcy?
Answer: Bankruptcy is a process where, if you qualify, the U.S. Constitution allows those burdened by too much debt to get a fresh financial start and pursue newly productive lives. It was designed to assist those who have deeply sunk into debt with little to no hope of ever paying it off. Bankruptcy is divided into two chapters, 7 and 13.
Question: Will bankruptcy wipe out all my debts?
Answer: In some cases all debts can be wiped clean. However, others cannot be discharged in bankruptcy, and you will continue to owe them. These may include back child support, alimony, certain kinds of tax debts, student loans, and more. Ask your attorney what kind of bankruptcy is right for you, and whether your debt can or cannot be discharged.
Question: What is an automatic stay?
Answer: After the filing of your bankruptcy petition (paperwork), the federal court automatically “stays” or, in layman’s terms, freezes any more activity by creditors against the debtor. Essentially, your debt and its consequences cease and desist. At this point, creditors may only take further action with permission of the court.
Question: Does filing for bankruptcy affect my credit?
Answer: According to federal law, bankruptcy can show on your credit report for up to ten years. However, when you try to acquire credit in the future, creditors may deem you eligible because past bankruptcy has freed up your income. However, bankruptcy is not a fix for your credit report, and it’s up to you to repair your credit after discharged debt.
At the Law Office of Brian Juran, we offer reasonable payment plans, a family-friendly office environment, and FAST electronic filing! If you’re considering bankruptcy, start with our FREE consultation by calling 845-339-4313 or stopping in at our office at 654 Aaron Court!
