Filing for Bankruptcy FAQs: Answers to the Most Common Questions
- McMann, P.A.
- Feb 23
- 2 min read
Updated: Apr 6
At McMann, P.A., we know that filing for bankruptcy is a significant decision that comes with many questions. Attorney Mark McMann and our team have helped countless individuals in Lakeland, Tampa, Orlando, and throughout Central Florida navigate the bankruptcy process.
Here, we answer some of the most frequently asked questions about bankruptcy to help you better understand your options.
What Are the Most Common Types of Bankruptcy?
The two most common types of personal bankruptcy are:
Chapter 7 Bankruptcy: This allows individuals to discharge most unsecured debts, such as credit cards and medical bills, through liquidation.
Chapter 13 Bankruptcy: This is a repayment plan that allows individuals to restructure their debts and pay them off over three to five years while keeping their assets.
Will Bankruptcy Eliminate All My Debts?
Bankruptcy can discharge many types of unsecured debt, including credit card balances, medical bills, and personal loans. However, some debts, such as student loans, child support, alimony, and most tax obligations, are generally not dischargeable.
How Does Filing for Bankruptcy Affect My Credit?
While bankruptcy will remain on your credit report for up to 10 years, it also provides a fresh start by eliminating overwhelming debt. Many individuals find that they can begin rebuilding their credit soon after their bankruptcy case is finalized.
Will I Lose My Home or Car If I File for Bankruptcy?
In Chapter 7 bankruptcy, assets may be liquidated to pay off creditors, but Florida has strong exemptions that protect your primary residence and certain personal property. Chapter 13 bankruptcy allows you to keep your home and car while making structured payments to creditors.
Can Filing for Bankruptcy Stop Wage Garnishments and Foreclosures?
Yes! Once you file for bankruptcy, an automatic stay goes into effect, which temporarily stops wage garnishments, foreclosure proceedings, repossessions, and creditor harassment.
How Long Does the Bankruptcy Process Take?
Chapter 7 bankruptcy cases typically take about 4-6 months from filing to discharge.
Chapter 13 bankruptcy cases last between 3-5 years, as they involve a structured repayment plan.
How Do I Know If Bankruptcy Is the Right Option for Me?
If you are facing overwhelming debt, creditor lawsuits, or financial stress, consulting with an experienced bankruptcy attorney is the best way to determine if bankruptcy is the right solution for your situation.
Contact McMann, P.A. Today for a Free Consultation
At McMann, P.A., we are dedicated to helping individuals regain control of their finances. If you are considering bankruptcy in Central Florida, call Mark McMann today at McMann, P.A. for expert legal guidance.
Mark D. McMann
Comments