Tennessee and North Georgia Bankruptcy Lawyers

If you are considering filing for bankruptcy, you may have questions about the bankruptcy process. How long will it take? Is it a major time investment? While the bankruptcy process is complex, having an experienced bankruptcy attorney on your side can make it much easier to bear.

At the Law Office of W. Thomas Bible, Jr., we help clients with all aspects of bankruptcy, including Chapter 7, Chapter 13, Chapter 11 and Chapter 12 bankruptcies. We provide knowledgeable bankruptcy representation to clients from Chattanooga and throughout Tennessee and North Georgia.

Do you have questions about the bankruptcy process in Chattanooga? Contact us today online or by telephone at (423) 690-7712 to arrange a consultation with an experienced Chattanooga debt relief attorney.

The Bankruptcy Process

The bankruptcy process is different depending on which bankruptcy chapter you file. Following is a brief description of the bankruptcy process for each chapter:

• Chapter 7: In a Chapter 7 bankruptcy, the bankruptcy takes control of the debtor’s assets and uses them to pay off creditors (although most people who file have no qualifying assets to lose). The debtor must first take a bankruptcy means test to determine if he or she qualifies for Chapter 7. Most people who file for Chapter 7 bankruptcy have their debt discharged within six months.
• Chapter 13: Filing for Chapter 13 bankruptcy is the first step in establishing a payment plan that lasts between three and five years. We will work with you to propose a payment plan to the bankruptcy court. You will pay back all or a portion of your debt to your creditors, through the bankruptcy trustee. In a Chapter 13 bankruptcy, the debt discharge does not occur until the payment plan is completed.
• Chapter 11: In a Chapter 11 bankruptcy, businesses are protected from debt collection activities, while getting time to reorganize debt and restore the business to profitability. Some debt can be discharged in a Chapter 11, depending on the circumstances. The bankruptcy court must approve the debt reorganization plan.
• Chapter 12: The Chapter 12 bankruptcy process is very similar to the Chapter 13 process, except it is designed to aid a family farmer or fisherman who is burdened by debt.

Whatever bankruptcy chapter you file, our lawyers will work with you personally throughout all stages of the process. We are committed to helping you avoid creditor actions while achieving your debt relief goals.

What to Expect from Bankruptcy

What makes so many people avoid bankruptcy are all the most common consequences of bankruptcy. However, when you start looking closer at the consequences of bankruptcy, you might realize that they are not as permanent as you think. 

These consequences of bankruptcy include:

• Lower credit score
• The possibility of selling your property
• Bankruptcy is listed on your credit history
• Bankruptcy can be found in a public record

While some of these initially sound like things that seem impossible to recover from, this is not always the case. For example, credit scores might be lowered from bankruptcy, but they can be rebuilt over time. Extremely high credit scores to begin with may not suffer much of an impact after bankruptcy.

The possibility of selling your property during bankruptcy usually involves selling your vehicle or home. However, this only applies to certain types of bankruptcy. This can be prevented with a reaffirmation agreement in some cases.

Bankruptcy might be listed on your credit history but usually only for ten years. Even though bankruptcy might be a public record, someone would have to go out of their way to find this information. On the positive side, bankruptcy was designed to help people escape crushing debt.

What you can expect when filing for bankruptcy is multiple options in terms of the type of bankruptcy you want to file for. In some cases, all your debt will be erased. Whereas in other cases, you may still have to pay back some of your debt but at a lower monthly payment with a lower interest rate.

How to Prepare for Bankruptcy

When it comes to preparing for bankruptcy, the first step is to figure out which bankruptcy you can file for. The four common types of bankruptcy are Chapter 7, Chapter 13, Chapter 12, and Chapter 11 bankruptcy. Each of these has its own eligibility criteria and benefits.

Be prepared to fill out multiple forms, provide detailed financial information, and answer questions about your debt. If the bankruptcy you are filing for does not discharge all your debt, be prepared to fill out a reaffirmation agreement. This will stop creditors from repossessing or taking your home or vehicle.

Consider consulting with a bankruptcy lawyer if you have any other questions or concerns about bankruptcy. A lawyer can help you with the legal processes of bankruptcy.

Contact Law Office of W. Thomas Bible, Jr. Today

The bankruptcy process can be complex and confusing at times. Contact us at Law Office of W. Thomas Bible, Jr. at (423) 690-7712 for a consultation about the bankruptcy process. Our legal team of Tennessee bankruptcy attorneys can help you start taking steps to prepare for bankruptcy. We are located in the Tennessee cities of Chattanooga and Tullahoma.