Best Bankruptcy Lawyers in Highlands Ranch, CO

FAQs

• Where do I file for bankruptcy in Highlands Ranch, Colorado?

  To file for a bankruptcy case in Highlands Ranch, you need to visit the court in Dever, which handles all bankruptcy cases in Colorado. This court is located at 721 19th St., Denver, CO 80202. You can also contact the office by dialing 720-904-7300.

• Where can I get bankruptcy forms in Highlands Ranch, Colorado?

  You can visit the official website of the U.S. Bankruptcy Court for the District of Colorado and refer to this specific section (https://www.cob.uscourts.gov/forms) to obtain the bankruptcy forms that you need to file you case in Highlands Ranch.

• When will you be able to increase your credit score after filing your bankruptcy in Highlands Ranch?

  If you diligently work to raise your credit score after filing for bankruptcy in Highlands Ranch, you should be able to do it within two years. To help with monitoring your credit, you can work with an experienced bankruptcy attorney who can guide you throughout the process and make sure that the debts included in your bankruptcy filing do not negatively impact your credit score.

• What is the waiting period for buying a house in Highlands Ranch after filing for bankruptcy?

  Bankruptcy attorneys in Highlands Ranch typically advise waiting for a minimum of two years before applying for a home loan after filing. This waiting period allows your credit to improve and reflect the successful payments you've made. Additionally, it gives you the opportunity to use your credit card to pay off all of your debt, which will raise your credit score and enhance your chances of being approved for a mortgage.

• Can businesses in Highlands Ranch file for Chapter 7 bankruptcy?

  Yes, businesses in Highlands Ranch can also file for Chapter 7 bankruptcy even through this type is commonly associated with individuals. It is a practical choice for companies who are unable to pay their debts and carry on with operations. By filing for Chapter 7, businesses can initiate a process to wind up their operations and notify creditors of their inability to repay debts.

• What are the risks of not using an attorney for a bankruptcy filing in Highlands Ranch?

  If you file for bankruptcy in Highlands Ranch on your own, you may be subject to overlooking certain aspects of the process. The possible errors that you might make include choosing the incorrect bankruptcy chapter and being unable to dismiss it, missing important details or required paperwork, and not being eligible for the bankruptcy plan. You may also fail to consider other options like debt consolidation or determine that you don't need to file for bankruptcy after all.

• Can you retain your existing credit cards after your bankruptcy case in Highlands Ranch?

  Yes, it is possible to keep your existing credit cards in Highlands Ranch after filing for bankruptcy. If your credit card accounts have a zero balance at the time of filing, they generally do not need to be listed in your bankruptcy petition since the credit card company is not considered a creditor for those cards. Even if you have an outstanding debt on a credit card at the time of filing, you may still be able to keep the account.

• What does a bankruptcy attorney do?

  Bankruptcy attorneys help clients understand whether they qualify for bankruptcy and what their best options are. They also prepare and file petitions, answer questions during the proceedings, and educate clients about potential best steps for a positive bankruptcy outcome. Bankruptcy attorneys might also file motions or paperwork if creditors dispute the bankruptcy, or to stop creditors from taking collections actions forbidden by the bankruptcy.

• What happens when you file bankruptcy?

  Bankruptcy is a formal process that individuals, married couples, or businesses can enact when they are no longer able to pay creditors. In a bankruptcy proceeding, filers are allowed to reduce debt to more manageable levels to best pay off money owed.

  Once the bankruptcy process is initiated, debt collectors can no longer seek repayments outside of the arrangements detailed in the bankruptcy settlement. Some forms of bankruptcy result in the liquidation of assets to pay back debts, while others allow filers to retain most of their possessions and investments. Many types of unsecured debt can be managed with bankruptcy filings, but not all.

• Can you file bankruptcy on student loans?

  Under most circumstances, student loans aren't dischargeable and aren't included in bankruptcy proceedings. In rare cases, it may be possible to eliminate student loans through bankruptcy, but only if the courts determine that continuing to pay the loans would impose an undue hardship. Meeting the criteria for undue hardship is challenging, and most bankruptcy filers don't qualify.

• What is bankruptcy fraud?

  Bankruptcy fraud is a blanket term that refers to any kind of dishonest bankruptcy proceeding, which can include:

  • Hiding assets by transferring them to another person or entity
  • Intentionally omitting assets when reporting to the court
  • Destroying or withholding required documents
  • Knowingly making false statements to bankruptcy trustees or creditors

• How long is bankruptcy on public record?

  How long bankruptcy stays on public record depends on the kind of bankruptcy filing in question. Chapter 7 bankruptcy remains on the record for 10 years as there isn't necessarily a repayment component. Chapter 13 bankruptcy remains on the record for seven years as some obligations are repaid following filing based on the terms of a discharge settlement.

• Does bankruptcy clear tax debt?

  Bankruptcy can clear tax debt, depending on the circumstances. Taxes are dischargeable under Chapter 7 bankruptcy, not Chapter 13, and only if the tax debt is:

  • Federal income tax debt related to current properly filed tax returns
  • Honestly incurred with no fraud or evasion
  • At least three years old
  • Assessed at least 240 days before bankruptcy filings

  Existing liens are not eliminated with bankruptcy.

  
  

• Can they take my car in Chapter 7 bankruptcy?

  In many cases, it's possible to keep a vehicle following Chapter 7 bankruptcy. The Chapter 7 Motor Vehicle Exemption allows filers who own their vehicles outright or who are up to date with payments to keep their cars. However, those behind on making car payments are required to arrange a repayment plan. Otherwise, the vehicle may be repossessed as a part of the proceedings.

• How bad is it to file bankruptcy twice?

  Although possible, due to the damaging nature of bankruptcy, filing bankruptcy more than once isn't recommended. Filing multiple times puts a serious burden on one's credit report, making it harder to get a loan, buy a house, buy a car, or even open credit cards.

  Note that filing for bankruptcy isn't something that can be done at a filer's leisure. There are time limits following bankruptcy cases that dictate when it's permissible to file again. For example, after Chapter 7 bankruptcy, filers must wait at least eight years before filing Chapter 7 again or four years before filing Chapter 13.

• Can anyone file bankruptcy?

  Anyone can file bankruptcy, but there are limitations regarding which form of bankruptcy is permissible. Qualifying for Chapter 7 requires a means test that evaluates income, debt levels, and income left over each month after paying basic obligations. Income over the median set by the court and monthly income that allows meaningful payments toward unsecured debt can disqualify filers from Chapter 7, which is generally the preferred form of bankruptcy due to the possibility of a full discharge. Anyone can file Chapter 13 bankruptcy, but the terms are less favorable. In most cases, some debts must be repaid following a successful filing. Chapter 13 is also more likely to result in asset forfeiture.

• How will bankruptcy affect my credit score?

  Bankruptcies are noted on credit reports. How much a bankruptcy might drop a person's credit score depends on how high the score was to begin with, but generally speaking, the hit can be as much as 100 to 200 points. Often scores are already dropping because people filing for bankruptcy may have already missed payments on debts. Chapter 13 bankruptcies are listed on credit reports for seven years from the filing date, while Chapter 7 bankruptcies are listed for 10 years from the filing date. This is because Chapter 13 bankruptcies require at least partial payment of debts owed.

• What are the benefits of filing for bankruptcy?

  Filing a bankruptcy petition causes an automatic stay. This legally stops creditors from taking further action to collect debt, including garnishing wages or foreclosing on property. Going through a bankruptcy successfully means that debts included in the bankruptcy are discharged and don't have to be paid back, except as provided in a Chapter 13 repayment plan. Bankruptcy can help someone recover from financial duress so they can make better decisions and improve financial situations in the future. Disadvantages can include temporary lower credit scores and limitations on spending and financing.

• What's the difference between debt settlement and bankruptcy?

  Debt settlement occurs when people negotiate with individual creditors. The creditor agrees to take a payment that's lower than what someone owes and call the debt “paid in full.” Bankruptcy is a legal process that causes debts to be dismissed after someone proves they don't currently have the means to pay their debts as owed. Typically, someone can't enter into bankruptcy and also settle some debts, because the court would see that as favoring one creditor over another.