Bankruptcy Can Be Scary, but Can It Help You?

– Do you feel like you are drowning in debt?

Collection claims and bills keep coming. Your phone keeps ringing by collectors trying to get paid.

You thought about bankruptcy but you don’t understand how it works. We at the Jesus & Casiano Law Firm are prepared to help you solve your debt problems.  

First, we will evaluate every aspect of your situation. Sometimes bankruptcy might not be needed to solve your problem. When bankruptcy is the only remedy you must know that not everything you have will be taken. There are some exceptions that the State or the federal law has listed and it will protect some of your assets.

When considering filing for bankruptcy in Florida, a minimum of 2 years of residency is required for some exceptions to apply. That doesn’t mean you are left unprotected; it only means that you might have to file for bankruptcy in the State you were living at the time.  

You are scared you will lose your house, don’t be, in Florida your house can be protected with the homestead exception. Your personal property can be exempt up to a certain amount and negotiating with the trustee is an option to raise the amount to be protected. Every client’s situation is different and a thorough evaluation is made to determine the best course to take.  

With chapter 7 the trustee collects all your assets that are not exempt and sells them to pay your creditors. With chapter 13 you do a repayment plan. Normally, chapter 13 is chosen when you have some assets that you do not wish to dispose and that are not exempt.