Bankruptcy Des Moines, Iowa

FAQ

Q: Will bankruptcy destroy my credit?  

A: No. What will destroy your credit is not paying on your bills when they are due.  Bankruptcy is considered a fresh start.

Many clients are in a better position after filing for a bankruptcy for the following reasons:

Since bankruptcy essentially wipes out your debt, credit scores usually increase after filing.

Filers can usually refinance their home within two years after declaring bankruptcy.

Once you’ve declared bankruptcy, applying to rent an apartment may also become easier since the Landlord is likely to check your credit report.

 

Q: Do I make too much money to file a Chapter 7 bankruptcy? 

A: This is usually not the case. Most clients fall below the median income level that is required in order to file Chapter 7. Even if you make more than the specified income level, each client's situation is unique and you may still qualify to file a Chapter 7 bankruptcy.  In the free initial consultation, all of this will be considered so that you know your options before you invest one penny in Lisa Pendroy’s services.

 

Q: Will I have to go to court? 

A: Not quite, but you will need to attend a meeting of creditors.  In this meeting, you will become acquainted with the trustee in your case. Trustees are very friendly, and should not be feared. Their job is to ask you simple questions, ones which Lisa will prepare you for in advance.  Creditors may also show up to this meeting to ask you some simple questions, but just as before, there is no need to be scared; it is a completely simple process.

 

Q: Does my spouse have to file a bankruptcy with me?

A: No.

 

Q: Will filing a bankruptcy stop my garnishment? 

A: Yes, filing a bankruptcy creates an automatic stay and creditors cannot collect on any debt unless the creditor files a motion to lift the stay and the court orders that the stay be lifted.    The same applies if your home in in foreclosure or your vehicle is on the verge of repossession.   

 

More Questions?

If you have a question that’s not answered here, contact Lisa today to schedule a free consultation.

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