BANKRUPTCY FREQUENTLY ASKED QUESTIONS FOR SALT LAKE CITY AND SURROUNDING UTAH AREA CLIENTS
- Will I be able to rent an apartment or house after I file for bankruptcy?
- Will bankruptcy stop a lawsuit against me?
- Will bankruptcy stop my home from being
foreclosed
and/or my car from being repossessed? - How do I rebuild my credit after filing for bankruptcy?
- Who will know about my bankruptcy?
- I only want to file bankruptcy on certain creditors, but not on others. Is this possible?
- Do I have to go to court?
- Will bankruptcy get me out of child support or spousal support payments?
Will I be able to rent an
apartment or house after I file for bankruptcy?
A landlord can legally refuse to rent you an apartment
because of a prior bankruptcy in your credit report. However, if
you are presently renting a home or an apartment, your present
landlord will typically renew your lease without running an updated
credit report, and will probably not know that you filed for
bankruptcy. If you are applying for a new lease, you may encounter
some difficulties that we can help you overcome. Offering to make a
larger security deposit may be enough for a potential landlord to
overcome his/her concerns.
Will bankruptcy stop a lawsuit
against me?
If you are being sued, we strongly urge you to speak with
an Attorney
at Davis & Jones, P.C. about filing for bankruptcy. A
bankruptcy filing will stop a lawsuit immediately and prevent your
creditors from placing a lien against your house or garnishing your
wages.
Will bankruptcy stop my home from being foreclosed
and/or my car from being repossessed?
Bankruptcy can prevent a foreclosure of your house or a
repossession of your car. An “automatic stay” arises by law the
instant a bankruptcy is filed. The automatic stay stops the
foreclosure process and prevents any collection actions, such as
repossessions or garnishments. Bankruptcy may also allow you to
consolidate your mortgage arrears or automobile balance, and make
payments on those debts over time through a repayment plan designed
by the bankruptcy Attorneys of Davis & Jones.
How do I rebuild my credit after filing for
bankruptcy?
Although bankruptcy may be legally reported on your credit
report for up to 10 years, you can begin to reestablish your credit
immediately after your bankruptcy discharge. Lenders will consider
many factors while determining whether or not to extend your
credit, but the most important of all factors is your
debt-to-income ratio. Based on the credit scoring models currently
used by the credit reporting agencies, a debtor's credit score
often actually improves upon the filing of a bankruptcy because of
the elimination of debt.
Who will know about my
bankruptcy?
Parties that receive notice of a bankruptcy are your
creditors, the Bankruptcy Court, the IRS and the Utah Department of
Revenue. Bankruptcy is a public record, so anyone who wants to try
to find out about your bankruptcy could find out about it. Many
people believe that notices of all bankruptcies are printed in the
newspapers, but this is not true.
I only want to file bankruptcy on
certain creditors, but not on others. Is this possible?
No. You are required by law to list all of your creditors,
including friends and family members who have loaned you money.
Intentional failure to list a debt is a serious matter and could
result in a denial of your entire bankruptcy discharge. However,
you are not prohibited from voluntarily paying selected debts after
you file for bankruptcy. Attorneys Davis & Jones, P.C., can
explain how you can legally repay any debt you want, after your
bankruptcy is over, on a purely voluntary basis without a
reaffirmation agreement.
Do I have to go to court?
You must attend a first meeting of creditors. Your Davis
& Jones, P.C. Attorney will be with you at this meeting. This
meeting is held in a hearing room used by the bankruptcy trustees,
not in court. The trustee will ask you questions regarding your
bankruptcy filing. If any of your creditors are present, they can
also ask you questions. However, creditors rarely attend this
hearing, and if they do, they rarely ask questions. Your attendance
at this hearing is mandatory, and failure to appear can result in
dismissal of your case.
Will bankruptcy get me out of child support or spousal
support payments?
No. Under both old and new bankruptcy laws, child support
payments and spousal support payments are not dischargeable in a
bankruptcy proceeding.
If you or someone you know in Salt Lake City, Utah, or within the surrounding cities and counties of Utah needs the assistance of an experienced bankruptcy lawyer, contact Attorneys Davis & Jones, P.C. at (866) 632-2707 or complete the contact form on this site to begin your free consultation.