Share your needs with us, get contacted by law firms.
Free. Takes 2 min.
Bankruptcy law in Washington allows residents to clear their debt and provide themselves with a fresh financial start. The most common types of bankruptcy filed are Chapter 7 and Chapter 13. Chapter 7 bankruptcy often involves the liquidation of assets to repay creditors, while Chapter 13 allows for the reorganization of debts and creating a repayment plan. Exemptions are available for specific types of property, so such properties may not need to be sold off during the bankruptcy process.
Bankruptcy law is complex and it requires navigating through a variety of legal protocols, procedures, and terminologies. A lawyer can guide you to understand these complexities, advise you on which type of bankruptcy to file, and help preserve as many of your assets as possible. Lawyers can also represent you in court proceedings, handle creditors, and ensure that all required paperwork is correctly filled and filed timely.
Washington State has its own set of specific exemptions in addition to federal bankruptcy laws. These are designed to help you keep a portion of your property through the bankruptcy process. For instance, homestead exemption in Washington State allows you to exempt equity in your home up to a certain limit. There are also exemptions for personal property, vehicles, tools of your trade, pensions, and certain public benefits. An experienced lawyer can guide you to maximize your use of these exemptions.
No, not all debts can be erased through bankruptcy. These includes debts such as student loans, child support, alimony, and certain tax debts.
Chapter 7 bankruptcy involves liquidating certain assets to repay creditors while Chapter 13 allows for reorganization and payment plan of debts, typically over three to five years.
No, it is not mandatory to lose all assets in bankruptcy. There are certain federal and state-related exemptions available.
Bankruptcy will likely lower your credit score in the short term, but it doesn’t permanently damage your credit. Rebuilding credit post bankruptcy is possible.
While it is technically possible to file bankruptcy without a lawyer, it is generally not advised due to the complexity of bankruptcy law.
You can refer to these resources for more information:
If you're facing serious financial trouble and consider bankruptcy, you should consult a knowledgeable bankruptcy lawyer. A lawyer can advise you regarding the viability and timing of bankruptcy, ensuring that the process goes as smoothly as possible while preserving as much of your property as possible. Start with gathering all significant financial documents, such as income, assets, and debts, which your lawyer will require to give you the best possible advice.
