What Happens After I File Bankruptcy?
As we speak with current and prospective clients, one of the biggest concerns and questions about bankruptcy that they have is what happens next? What does the aftermath of bankruptcy really look like? What does it mean for your life in the immediate future and the years ahead?
It’s important to fully understand the consequences and outcomes, so that you can make the right decision, and be prepared for the next steps. It’s also important to clear things up, because many people have misconceptions about what happens after bankruptcy.
What Happens to Your Property After Bankruptcy?
After bankruptcy, you will still be able to own property. You will be able to keep the property which was exempt during your bankruptcy filing, and you will be able to obtain and keep new property as you move ahead.
For most individuals, they are able to keep their home and car. However, this will also depend on which chapter bankruptcy you file, whether or not the creditors have a security interest in your home, and how much equity you have in that property and other assets.
What Happens to Your Credit After Bankruptcy?
After bankruptcy, the fact that you filed for bankruptcy will appear on your credit record for 10 years from the date the case was filed. Although not true in every case, often individual’s credit, or FICO score, improves dramatically within the year following bankruptcy. Restoring your credit is something that can take place almost immediately.
To begin discussing your own financial circumstances and whether or not you should file bankruptcy in Maryland, contact us to schedule a free consultation. Call 301.718.1892 and we’ll be happy to answer any questions and provide you with further information. You can also view our bankruptcy FAQ, where we answer many other pressing questions about bankruptcy.