Bellview, FL Bankruptcy Law Firms & Lawyers

You could move to vacate the filing, but it would still probably show up on the credit report. I have read about this being done in one case over the years, but I am not sure what the basis would be to accomplish this goal.

No they may not, and there are big penalties for those creditors that do. Upon filing your bankruptcy puts into place an automatic stay. If you filed previously for some reason the stay might only be in place for 30 days or may not be in place automatically. Many creditors are notified by the court electronically, but some are notified via mail so it may take some time for them to get notice from the court. For those creditors you can give them your case number and tell them not to call again.

Although bankruptcy laws do not require someone to have a certain amount of debt, it just makes sense to only consider bankruptcy when it will do you some good and you get the biggest "bang for your buck." After all, you are only eligible to file bankruptcy once every eight years. Student loans cannot usually be eliminated in bankruptcy unless the borrower has a serious disability so exclude that from your total debt. What does that leave in debt? Would you be able to pay 1/4 of the balance of your debts over 60 months? Assuming that you still had $10,000 in debts, could you pay $2,500 off in 60 months. That works out to less than $42/month. Kind of hard to make an argument that someone couldn't pay that by tightening their belt. With this argument, the US Trustee could argue that the bankruptcy is not "in good faith." My criteria is to have my clients owe at least 50% of their annual income in debt that can be eliminated through bankruptcy. Otherwise, I want to consider other options. I have seen too many people who have eliminated a small amount of debt in bankruptcy (with someone else) only to have overwhelming medical debts or other problems a year or so down the road and be ineligible to get rid of debt that is truly overwhelming.