by Facing overwhelming debt can feel isolating and daunting. In Irvine, California, navigating the complexities of bankruptcy law requires expert guidance. This guide explores the intricacies of bankruptcy, from understanding different chapter options to selecting the right attorney and protecting your assets. We’ll demystify the process, offering clear explanations and practical advice to help you make informed decisions during a challenging time.
Understanding your options is crucial. Whether you’re considering Chapter 7 or Chapter 13 bankruptcy, or exploring alternatives like debt consolidation, a knowledgeable bankruptcy attorney in Irvine can help you assess your financial situation, determine the best course of action, and guide you through each step of the legal process. This guide provides essential information to empower you throughout this journey.
Introduction to Bankruptcy Law in Irvine, CA
Facing overwhelming debt can be incredibly stressful, and understanding your options is crucial. Bankruptcy offers a legal framework for individuals and businesses to manage and potentially eliminate debt under the protection of the court. This introduction provides a general overview of bankruptcy law as it applies in Irvine, California. Remember, this is for informational purposes only and does not constitute legal advice. You should always consult with a qualified bankruptcy attorney in Irvine, CA for personalized guidance.
Bankruptcy in California, as in other states, operates under the federal bankruptcy code, but state laws also influence certain aspects of the process. Understanding the different types of bankruptcy available and the eligibility requirements is essential for making informed decisions.
Types of Bankruptcy Available in California
California residents have access to several types of bankruptcy, each designed for different financial situations. The choice of which chapter to file under depends on individual circumstances and goals.
- Chapter 7 Bankruptcy (Liquidation): This chapter involves the liquidation of non-exempt assets to repay creditors. After the sale of assets, remaining debts are typically discharged. Eligibility requires meeting specific income and asset tests, demonstrating inability to repay debts. A means test is used to determine eligibility.
- Chapter 13 Bankruptcy (Reorganization): Chapter 13 allows individuals with regular income to create a repayment plan over three to five years. This plan involves making regular payments to creditors according to a court-approved schedule. Eligibility generally requires having regular income and sufficient income to make payments under the plan. Secured and unsecured debts are included.
Eligibility Criteria for Bankruptcy
Eligibility for each type of bankruptcy depends on several factors, including income, assets, and debts. The specific requirements are complex and subject to change.
- Chapter 7: Individuals must pass a means test, comparing their income to the median income in their state. If their income is below a certain threshold, they are typically eligible. They also must demonstrate they cannot afford to repay their debts through a Chapter 13 plan. Assets are evaluated; some are exempt from liquidation under state and federal law.
- Chapter 13: Individuals must have regular income and sufficient income to make payments under a repayment plan. They must also be able to demonstrate they can repay at least some of their debts. Debtors must have unsecured debts below a certain amount.
Overview of the Bankruptcy Process in Irvine, CA
The bankruptcy process in Irvine, CA, follows the federal bankruptcy code, with local court procedures and rules applying.
The process generally involves:
- Filing the Petition: This initiates the bankruptcy case and includes schedules detailing assets, liabilities, income, and expenses.
- Meeting of Creditors (341 Meeting): A meeting with the trustee and creditors where questions are answered under oath.
- Chapter 7: Asset liquidation (if applicable) and debt discharge.
- Chapter 13: Development and confirmation of a repayment plan, followed by payments over three to five years and subsequent discharge.
The specific steps and timeline vary depending on the type of bankruptcy filed and the complexity of the case. Throughout the process, debtors must comply with court orders and truthfully disclose all financial information. Failure to comply can lead to serious consequences.
Finding a Bankruptcy Attorney in Irvine, CA
Navigating bankruptcy can be a complex and stressful process. Choosing the right legal representation is crucial for a successful outcome. This section provides guidance on finding a qualified and experienced bankruptcy attorney in Irvine, CA, to help you through this challenging time.
Selecting a Qualified and Experienced Bankruptcy Attorney
Finding the right bankruptcy attorney requires careful consideration. Begin by focusing on experience and specialization. Look for attorneys who have a proven track record in handling bankruptcy cases similar to yours, whether it’s Chapter 7, Chapter 13, or other relevant bankruptcy proceedings. An attorney specializing in bankruptcy law will possess in-depth knowledge of the legal procedures, requirements, and strategies necessary to achieve the best possible results. Consider the attorney’s years of practice, the number of bankruptcy cases they’ve handled, and their success rate. Attorneys with extensive experience will be better equipped to handle unforeseen complications and advocate effectively on your behalf. Inquire about their familiarity with the specific bankruptcy courts in Orange County.
Checking Attorney Credentials and Reviews
Verifying an attorney’s credentials is paramount. Confirm that the attorney is licensed to practice law in California and is in good standing with the State Bar of California. You can easily verify this information through the State Bar’s website. Beyond formal credentials, explore online reviews and testimonials from past clients. Websites like Avvo, Yelp, and Google My Business often contain valuable feedback regarding an attorney’s responsiveness, communication skills, and overall effectiveness. Pay attention to both positive and negative reviews, looking for patterns or recurring themes in the client experiences. These reviews can offer valuable insights into an attorney’s professionalism and client service.
Comparing Attorney Fees and Services
Attorney fees vary significantly, influenced by factors such as experience, case complexity, and the attorney’s fee structure. Before engaging an attorney, obtain a clear and detailed breakdown of their fees. Ask about any additional costs, such as filing fees, court costs, or expenses related to expert witnesses. Transparency in fees is crucial. Don’t hesitate to compare fee structures and services offered by several attorneys to ensure you are receiving competitive pricing and the appropriate level of legal representation for your needs. Consider the attorney’s willingness to answer your questions thoroughly and provide regular updates on the progress of your case.
Attorney Fee Structures
Different attorneys utilize different fee structures. Understanding these structures is vital for budgeting and making informed decisions.
| Attorney Type | Fee Structure | Advantages | Disadvantages |
|---|---|---|---|
| Bankruptcy Specialist | Hourly | Flexibility; pays only for time spent on the case. | Can be unpredictable; total cost can be difficult to estimate upfront. |
| General Practice Attorney with Bankruptcy Experience | Flat Fee | Predictable cost; allows for better budgeting. | May not be as flexible if the case becomes more complex; could lead to under- or overcharging. |
| Bankruptcy Specialist | Contingency | No upfront fees; attorney only gets paid if the case is successful. | Attorney may have less incentive to work as diligently; not common in bankruptcy cases. |
The Bankruptcy Process
Filing for bankruptcy in California is a complex legal process with several crucial steps. Understanding these steps is vital for a successful outcome, and seeking guidance from a qualified bankruptcy attorney in Irvine, CA, is highly recommended. This process aims to provide individuals and businesses with a fresh financial start by legally discharging certain debts.
The process involves several key stages, from initial consultation and credit counseling to the discharge of debts. A bankruptcy trustee plays a critical role in overseeing the process, ensuring fairness and compliance with bankruptcy laws. The entire process can be lengthy, requiring careful preparation and adherence to strict deadlines.
Steps in the California Bankruptcy Process
The steps involved in filing for bankruptcy in California are multifaceted and require meticulous attention to detail. Missing deadlines or submitting incorrect documentation can significantly delay the process or even lead to rejection of the petition.
- Credit Counseling: Before filing, debtors must complete a credit counseling course from an approved agency. This course provides education on budgeting, debt management, and alternatives to bankruptcy. The completion certificate must be submitted with the bankruptcy petition.
- Choosing a Chapter: Debtors must decide whether to file under Chapter 7 (liquidation) or Chapter 13 (reorganization). Chapter 7 involves selling non-exempt assets to repay creditors, while Chapter 13 involves creating a repayment plan over three to five years. The choice depends on individual circumstances and financial situation.
- Gathering Financial Documents: Compiling comprehensive financial documents is crucial. This includes tax returns, pay stubs, bank statements, loan documents, and a detailed list of assets and liabilities. Accuracy is paramount, as discrepancies can cause delays.
- Filing the Bankruptcy Petition: The bankruptcy petition, along with supporting documents, is filed with the U.S. Bankruptcy Court in the appropriate jurisdiction. This petition formally initiates the bankruptcy proceedings.
- Meeting of Creditors (341 Meeting): A meeting of creditors is held, where the debtor must appear and answer questions under oath from the bankruptcy trustee and creditors. This meeting allows creditors to examine the debtor’s financial situation and ask questions about the bankruptcy filing.
- Trustee’s Role: The bankruptcy trustee reviews the debtor’s assets and liabilities, investigates the debtor’s financial affairs, and manages the distribution of assets to creditors. In Chapter 7, the trustee may liquidate non-exempt assets to repay creditors. In Chapter 13, the trustee oversees the debtor’s repayment plan.
- Debt Discharge (Chapter 7): After the completion of the meeting of creditors and the trustee’s review, the court may grant a discharge of dischargeable debts. This means the debtor is no longer legally obligated to repay those debts. Certain debts, such as student loans and taxes, are typically non-dischargeable.
- Repayment Plan Confirmation (Chapter 13): In Chapter 13, the debtor must propose a feasible repayment plan that satisfies the requirements of the bankruptcy code. The plan must be confirmed by the bankruptcy court before it becomes effective. The debtor is then required to make regular payments according to the confirmed plan.
The Role of the Bankruptcy Trustee
The bankruptcy trustee acts as a neutral party, overseeing the bankruptcy process and ensuring fairness to both the debtor and creditors. Their responsibilities vary depending on whether the case is a Chapter 7 or Chapter 13 bankruptcy. In Chapter 7, the trustee is responsible for liquidating non-exempt assets to pay creditors. In Chapter 13, the trustee monitors the debtor’s compliance with the repayment plan. The trustee’s investigation can include reviewing financial records, interviewing witnesses, and taking other actions necessary to ensure the integrity of the bankruptcy process. They have the authority to object to the debtor’s discharge if they find evidence of fraud or misconduct.
Common Bankruptcy Issues and Solutions
Filing for bankruptcy can be a complex and stressful process, even with the assistance of a qualified bankruptcy attorney in Irvine, CA. Understanding common challenges and potential solutions is crucial for navigating this legal landscape effectively. This section Artikels frequently encountered issues and provides strategies for overcoming them.
Dealing with Creditor Harassment
Aggressive creditor behavior is a common source of anxiety for individuals considering bankruptcy. Creditors may repeatedly contact debtors by phone, mail, or even in person, demanding immediate payment. This harassment can be emotionally draining and significantly impact an individual’s mental well-being. The automatic stay, a crucial provision of bankruptcy law, provides immediate protection from most creditor collection actions once a bankruptcy petition is filed. This includes stopping phone calls, lawsuits, wage garnishments, and repossessions. A bankruptcy attorney can help ensure the automatic stay is properly implemented and address any violations by creditors.
Asset Protection Strategies
Many individuals worry about losing valuable assets during bankruptcy. While some assets are exempt under California law (such as a certain amount of equity in a home or vehicle), others may be subject to liquidation to pay creditors. Careful planning with a bankruptcy attorney is essential to maximize asset protection. Strategies include identifying and claiming all available exemptions, exploring options like homestead exemptions, and strategically structuring assets before filing for bankruptcy (though this must be done cautiously to avoid accusations of fraudulent conveyance). For example, a debtor might be able to protect a portion of their retirement savings under specific exemption rules.
Navigating the Bankruptcy Forms and Procedures
The bankruptcy process involves numerous forms and legal procedures, which can be overwhelming for individuals without legal expertise. Errors in completing these forms can lead to delays or even rejection of the bankruptcy petition. An experienced bankruptcy attorney in Irvine, CA, can guide clients through this complex process, ensuring all forms are correctly completed and filed. They will handle the communication with the bankruptcy court and trustee, minimizing the client’s burden and ensuring compliance with all legal requirements. This includes understanding the nuances of Chapter 7 versus Chapter 13 bankruptcy and choosing the best path based on individual circumstances.
Addressing Tax Liabilities
Unpaid taxes can significantly complicate a bankruptcy case. Tax debts are often prioritized in bankruptcy proceedings, meaning they may be harder to discharge than other types of debt. An attorney can help determine whether tax debts are dischargeable and develop strategies for addressing them within the bankruptcy context. This may involve negotiating payment plans with the IRS or exploring options for reducing the tax liability before filing for bankruptcy. For instance, an attorney can help determine if the tax debt falls under the dischargeability exceptions, such as those related to fraudulent returns.
Managing the Discharge Process
The discharge of debts is the ultimate goal of many bankruptcy filings. However, obtaining a discharge requires meticulous adherence to bankruptcy rules and procedures. A bankruptcy attorney can help ensure that all necessary steps are taken to achieve a successful discharge. This includes addressing any objections from creditors and responding to inquiries from the bankruptcy trustee. A failure to properly navigate the discharge process can lead to the denial of discharge or other negative consequences.
Asset Protection in Bankruptcy
Bankruptcy law, while designed to address debt, also incorporates mechanisms to protect certain assets from creditors. Understanding these protections is crucial for individuals and businesses navigating financial hardship in Irvine, CA. Proper planning and legal guidance can significantly impact the outcome of a bankruptcy case.
Bankruptcy offers a legal framework to shield some, but not all, of your assets from being seized by creditors to satisfy outstanding debts. The specific assets protected and the extent of protection depend on several factors, including the type of bankruptcy filed (Chapter 7 or Chapter 13), state laws, and the specific circumstances of your case. Strategic planning with a bankruptcy attorney in Irvine can help maximize asset protection within the legal boundaries of bankruptcy.
Assets Typically Protected in Bankruptcy
Bankruptcy exemptions allow debtors to keep certain assets free from creditor claims. These exemptions vary by state, so it’s vital to understand California’s specific rules. Commonly protected assets often include a portion of your equity in your primary residence (homestead exemption), a vehicle, and certain personal property items. The amount of equity protected varies depending on the value of the asset and the state’s exemption limits.
Assets Typically Not Protected in Bankruptcy
Not all assets are shielded in bankruptcy. Assets acquired fraudulently, or those used in illegal activities, are generally not protected. Furthermore, luxury items considered non-essential, and assets held in certain trusts or accounts, may be subject to creditor claims. Understanding which assets are vulnerable is crucial for effective asset protection planning.
Strategies for Maximizing Asset Protection
Several strategies can help maximize asset protection during bankruptcy. These include properly claiming all available exemptions, carefully documenting the value of assets, and structuring assets to comply with bankruptcy laws. Consult with a bankruptcy attorney in Irvine to explore these options and determine the best approach for your situation. Proactive planning before filing for bankruptcy can significantly increase the likelihood of protecting valuable assets. For example, transferring assets to a spouse or relative before filing for bankruptcy is generally not allowed and could lead to further legal complications.
Asset Protection Table
| Asset Type | Protection Status | Exceptions | Considerations |
|---|---|---|---|
| Primary Residence (Equity) | Partially Protected (Homestead Exemption) | Exemption limits may vary; exceeding the limit can expose equity to creditors. Fraudulent conveyance. | Consult with an attorney to maximize the homestead exemption. |
| Vehicle(s) | Partially Protected (limited equity exemption) | Exemption limits apply; luxury vehicles may be less protected. | Determine the value and equity to understand protection level. |
| Retirement Accounts (e.g., 401(k), IRA) | Generally Protected | May be subject to creditor claims in certain circumstances (e.g., fraudulent transfers). | Verify eligibility under relevant bankruptcy laws. |
| Bank Accounts | Generally Unprotected (except for limited exemptions) | Funds exceeding exemption limits are available to creditors. | Minimize balances in accounts before filing. |
| Jewelry & Collectibles | Partially Protected (limited value exemptions) | High-value items exceeding exemption limits are vulnerable. | Consider selling valuable items before filing, if possible. |
| Business Assets | Varies depending on the type of bankruptcy and business structure. | Assets used in fraudulent activity or acquired fraudulently are not protected. | Seek specialized legal advice for business bankruptcies. |
Post-Bankruptcy Life
Filing for bankruptcy can be a significant life event, but it doesn’t have to define your financial future. Understanding the implications of bankruptcy and developing a strategic plan for recovery is crucial for rebuilding your financial stability. This section Artikels the steps you can take to navigate the post-bankruptcy period and regain control of your finances.
Bankruptcy significantly impacts your credit score, initially resulting in a substantial drop. The severity of the drop depends on factors such as your previous credit history and the type of bankruptcy filed (Chapter 7 or Chapter 13). However, it’s important to remember that this is not a permanent condition. With diligent effort and a well-defined plan, you can rebuild your credit over time.
Credit Score Implications of Bankruptcy
A bankruptcy filing remains on your credit report for seven to ten years, depending on the type of bankruptcy. During this period, your credit score will be negatively affected, making it more difficult to obtain loans, credit cards, and other forms of credit at favorable terms. Lenders view bankruptcy as a significant risk, leading to higher interest rates and stricter lending requirements. For example, a person with a 750 credit score before bankruptcy might see their score drop to below 500 immediately after. This can make even essential purchases, like a car or a house, considerably more challenging.
Rebuilding Credit After Bankruptcy
Rebuilding your credit after bankruptcy requires patience and consistent effort. It’s a gradual process that involves demonstrating responsible financial behavior. Key strategies include paying all bills on time, maintaining low credit utilization, and gradually increasing your credit limits responsibly. Using secured credit cards, which require a security deposit, can help establish a positive credit history. Monitoring your credit report regularly and correcting any errors is also essential.
Resources and Strategies for Financial Recovery
Several resources are available to assist in financial recovery post-bankruptcy. Credit counseling agencies can provide guidance on budgeting, debt management, and financial planning. These agencies often offer educational materials and workshops to help individuals understand their finances and develop strategies for long-term financial stability. Furthermore, many non-profit organizations offer financial literacy programs that can equip individuals with the skills and knowledge necessary to manage their finances effectively. Budgeting apps and online resources can also help track expenses and create a realistic budget.
Timeline for Credit Recovery
Rebuilding credit after bankruptcy is not a quick process. It typically takes several years to see significant improvement. A realistic timeline might look like this:
| Year | Credit Score Improvement Stage | Actions |
|---|---|---|
| Year 1 | Significant improvement unlikely; focus on responsible financial habits | Pay all bills on time, use secured credit card, monitor credit report |
| Year 2-3 | Gradual improvement; new credit accounts might become available | Maintain responsible spending, consider unsecured credit card applications |
| Year 4-5 | Noticeable improvement; access to better interest rates | Apply for loans with better terms, continue to monitor credit report |
| Year 5-7+ | Credit score approaching pre-bankruptcy levels | Continue responsible financial behavior, consider larger credit applications |
It’s important to remember that this timeline is an approximation. The actual recovery period will vary depending on individual circumstances and the level of commitment to rebuilding credit.
Debt Consolidation vs. Bankruptcy
Facing overwhelming debt can feel incredibly stressful, leaving many individuals searching for viable solutions. Two prominent options often considered are debt consolidation and bankruptcy. Understanding the key differences between these approaches is crucial for making an informed decision that best aligns with your individual financial circumstances. This comparison will highlight the advantages and disadvantages of each, outlining scenarios where one option might be preferable over the other.
Debt consolidation and bankruptcy represent distinct strategies for managing debt. Debt consolidation involves combining multiple debts into a single, more manageable payment, often with a lower interest rate. Bankruptcy, on the other hand, is a legal process that allows individuals or businesses to discharge certain debts under the protection of the court. The choice between these two depends heavily on your specific financial situation, the nature of your debts, and your long-term financial goals.
Debt Consolidation
Debt consolidation aims to simplify debt management by combining multiple loans and credit card debts into a single loan. This can lead to a lower monthly payment, potentially making it easier to stay current on payments. However, it’s important to note that consolidation doesn’t reduce the total amount owed; it simply reorganizes it.
- Advantages: Simplified payment process, potentially lower interest rate, improved credit score (if managed successfully).
- Disadvantages: Doesn’t eliminate debt, may extend the repayment period, requires good credit to qualify for a lower interest rate loan, potential for higher total interest paid over the life of the loan if the interest rate is not significantly reduced.
- Suitable Scenarios: Individuals with manageable debts, good credit history, and the ability to make consistent monthly payments. For example, someone with several credit card debts with high interest rates might benefit from consolidating them into a lower-interest personal loan.
Bankruptcy
Bankruptcy is a legal process designed to help individuals and businesses resolve overwhelming debt. There are different types of bankruptcy, such as Chapter 7 (liquidation) and Chapter 13 (reorganization), each with its own set of rules and implications. While it can offer a fresh financial start, it carries significant long-term consequences for credit history.
- Advantages: Can eliminate or significantly reduce debt, provides legal protection from creditors, can stop wage garnishments and foreclosure proceedings.
- Disadvantages: Negative impact on credit score, loss of certain assets (in Chapter 7), potential legal fees, can affect future borrowing ability.
- Suitable Scenarios: Individuals facing insurmountable debt, facing creditor harassment, or facing foreclosure. For instance, someone who has lost their job and is unable to make minimum payments on their mortgage and credit cards might find bankruptcy a necessary option.
Understanding Chapter 7 and Chapter 13 Bankruptcy
Choosing between Chapter 7 and Chapter 13 bankruptcy is a crucial decision with significant long-term consequences. Understanding the key differences between these two chapters is essential for making an informed choice that aligns with your individual financial circumstances. This section will Artikel the core distinctions, eligibility requirements, and appropriate scenarios for each chapter.
Chapter 7 and Chapter 13 Bankruptcy: Key Differences
Chapter 7 and Chapter 13 bankruptcy are distinct legal processes designed to address overwhelming debt. Chapter 7, often referred to as liquidation bankruptcy, involves the sale of non-exempt assets to repay creditors. Chapter 13, on the other hand, is a reorganization bankruptcy where debtors create a repayment plan over three to five years. The choice depends heavily on factors like income, assets, and the debtor’s desire to retain property.
Chapter 7 Bankruptcy Eligibility Requirements
To be eligible for Chapter 7 bankruptcy, individuals must meet specific income requirements. These requirements are based on the median income for your state and household size. If your income is below the state median, you typically qualify. However, even if your income exceeds the median, you may still qualify if you can demonstrate that you have sufficient disposable income to pay for certain expenses after filing bankruptcy. A means test is used to determine eligibility. Additionally, Chapter 7 requires the completion of credit counseling before filing.
Chapter 13 Bankruptcy Eligibility Requirements
Chapter 13 bankruptcy is generally an option for individuals with regular income who owe secured and unsecured debts. Unlike Chapter 7, there’s no strict income limitation. However, your debt must fall below certain limits, and you must be able to create a feasible repayment plan. Similar to Chapter 7, credit counseling is also a prerequisite for filing Chapter 13.
Situations Favoring Chapter 7 or Chapter 13
Chapter 7 is often preferred when individuals have limited assets and income below the median income for their state. For example, someone with significant unsecured debt (credit cards, medical bills) and few assets that are not exempt under state law might find Chapter 7 a more suitable option. This allows for a quicker discharge of debts.
Chapter 13 is a better choice for individuals with significant assets they wish to retain, such as a home or car. A person facing foreclosure or repossession might choose Chapter 13 to create a repayment plan that allows them to catch up on missed payments and keep their property. Similarly, individuals with higher incomes who can afford to make regular payments under a repayment plan would benefit from Chapter 13.
Chapter 7 and Chapter 13 Bankruptcy: A Comparison
| Chapter | Eligibility | Process | Outcomes |
|---|---|---|---|
| Chapter 7 | Income below state median (or ability to demonstrate sufficient disposable income); completion of credit counseling. | Filing of petition; meeting of creditors; trustee’s review of assets; discharge of debts (non-exempt assets may be liquidated). | Discharge of most debts; potential loss of non-exempt assets. |
| Chapter 13 | Regular income; debts within statutory limits; ability to create a feasible repayment plan; completion of credit counseling. | Filing of petition; creation and confirmation of a repayment plan; regular payments to creditors over 3-5 years; discharge of debts upon completion of plan. | Discharge of debts upon completion of the plan; retention of assets; potential for modification of secured debts. |
Closing Summary
Successfully navigating bankruptcy requires careful planning and legal expertise. By understanding the various types of bankruptcy, the process involved, and the importance of selecting a qualified attorney, you can approach your financial challenges with greater confidence. Remember, seeking professional legal counsel is paramount to protecting your rights and securing a positive outcome. Taking proactive steps toward financial recovery can lead to a brighter future.
Quick FAQs
What is the difference between Chapter 7 and Chapter 13 bankruptcy?
Chapter 7 involves liquidation of non-exempt assets to pay off debts. Chapter 13 involves a repayment plan over three to five years.
How much does a bankruptcy attorney cost in Irvine, CA?
Fees vary depending on the attorney and the complexity of the case. Some attorneys offer flat fees, while others charge hourly rates. It’s essential to get a clear fee breakdown before proceeding.
Can I keep my house in bankruptcy?
It depends on the type of bankruptcy and your specific circumstances. Some assets, including a primary residence, may be protected under certain exemptions.
How long does the bankruptcy process take?
The timeframe varies depending on the chapter filed and the complexity of the case. Chapter 7 is typically faster than Chapter 13.
What happens to my credit score after bankruptcy?
Bankruptcy will negatively impact your credit score, but it’s possible to rebuild your credit over time by consistently making payments and maintaining good financial habits.
