Best Bankruptcy Lawyers in Austin

About Bankruptcy Law in Austin, United States

Bankruptcy is a legal process that allows individuals or businesses to seek relief from their debts. In Austin, United States, bankruptcy laws are governed by federal law, specifically under Title 11 of the United States Code. The two most common types of bankruptcy for individuals are Chapter 7 and Chapter 13.

Why You May Need a Lawyer

Bankruptcy laws can be complex and the process can be overwhelming for individuals. Additionally, having a lawyer can help ensure that your rights are protected throughout the bankruptcy process. Common situations where you may need a lawyer for bankruptcy include dealing with creditors, negotiating with lenders, understanding your legal options, and navigating the court system.

Local Laws Overview

In Austin, Texas, individuals filing for bankruptcy must adhere to federal bankruptcy laws, but there may be specific local regulations that impact the process. It is important to consult with a local bankruptcy lawyer who is familiar with the regulations in Austin to ensure that your bankruptcy filing is accurate and complies with all relevant laws.

Frequently Asked Questions

1. What is the difference between Chapter 7 and Chapter 13 bankruptcy?

Chapter 7 bankruptcy involves the liquidation of assets to pay off debts, while Chapter 13 bankruptcy involves creating a repayment plan to pay off debts over time.

2. Will I lose all of my possessions if I file for bankruptcy?

Not necessarily. Bankruptcy laws allow for certain exemptions that protect certain assets from being seized to pay off debts.

3. How will bankruptcy affect my credit score?

Bankruptcy will negatively impact your credit score, but with time and responsible financial behavior, you can rebuild your credit.

4. Can I file for bankruptcy without a lawyer?

While it is possible to file for bankruptcy without a lawyer, it is highly recommended to seek legal guidance to navigate the complex legal process and ensure your rights are protected.

5. How long does the bankruptcy process take?

The length of the bankruptcy process can vary depending on the type of bankruptcy filed and individual circumstances. In general, Chapter 7 bankruptcy can be completed in a few months, while Chapter 13 bankruptcy typically takes three to five years.

6. Will my debts be completely wiped out in bankruptcy?

Not all debts are dischargeable in bankruptcy, such as student loans, child support payments, and certain tax debts.

7. Will I have to go to court if I file for bankruptcy?

Yes, there will be a bankruptcy hearing where you will need to appear and answer questions about your financial situation.

8. Can I keep my house if I file for bankruptcy?

It depends on the type of bankruptcy filed, your equity in the house, and whether you are current on mortgage payments.

9. Can creditors still contact me after I file for bankruptcy?

Once you file for bankruptcy, an automatic stay goes into effect, which prevents creditors from contacting you to collect debts.

10. How much does it cost to file for bankruptcy?

The filing fees for bankruptcy vary depending on the type of bankruptcy filed. Additionally, if you hire a lawyer, there will be legal fees associated with their services.

Additional Resources

For more information on bankruptcy in Austin, you can visit the United States Bankruptcy Court for the Western District of Texas website or contact the Texas State Bar for a list of local bankruptcy lawyers.

Next Steps

If you are considering filing for bankruptcy in Austin, it is important to consult with a local bankruptcy lawyer to understand your legal options and ensure that your rights are protected throughout the process. A lawyer can help guide you through the complexities of bankruptcy law and provide you with the support you need during this challenging time.