If You File Bankruptcy, Can You Keep Your House?
What is one of the most important things to people when facing bankruptcy? Their home! What if you bought a house or are buying a house and you are filing for bankruptcy, can you keep the house? This is a question most people wonder about when faced with financial detriment.
- What to do in financial distress?
- If you can keep your home during bankruptcy.
- What provisions are there for keeping your home during a bankruptcy?
- What things can and can't be removed from your debt with bankruptcy?
- Learn about what happens when filing bankruptcy.
- How to file bankruptcy using DoNotPay.
- What are the five simple steps for completing your bankruptcy?
Chapter 13 Bankruptcy & Your Home
Did you know that a Chapter 13 Bankruptcy allows you a lot more flexibility than a Chapter 7 Bankruptcy? You are more likely to keep your home in that situation than in any other bankruptcy option. However, even if you do file a Chapter 7 there are some ways to keep your house if you qualify.
- You are much more likely to keep your house if you file a Chapter 13 than you are to file the more common Chapter 7 bankruptcy.
- You need to be sure of the type of bankruptcy you need to file.
Chapter 7 Bankruptcy & Your Home
It may be much more difficult to keep your house in a Chapter 7 bankruptcy. But there are ways to do it. Take a look at the following qualifying terms and other factors you may want to consider before filing:
- Find out what equity you have in your home.
- How much does a bankruptcy cost?
- Find out if your house is exempt under the rule of a Chapter 7.
- Can you afford the monthly payments?
- Have you thought about the downside of bankruptcy?
- Do you know what a debt verification letter is?
- Do you know what a 609 letter is?
- Are you aware of how long a bankruptcy will stay on your credit?
Not Everything Will Be Erased by a Bankruptcy
A lot of people think that they can take all of the debt in their life and erase it with bankruptcy. This is just absolutely not true! People who think they can rack up thousands of dollars in credit card debt, get rid of past-due child support or alimony, and also get rid of whatever they owe on their house or car are deeply mistaken. You cannot simply take what you owe on your home and expect it to be wiped off with bankruptcy.
|Removable Debts||Non-removable Debts|
What Is a Homestead Exemption?
Did you know that there is an important aspect of bankruptcy called a homestead exemption? This is a legal provision that helps protect a home from some creditors following the death of a homeowner's spouse or the declaration of bankruptcy. There is a federal homestead exemption and a state homestead exemption. Do you know which one to file in your situation?
- You have the option of using the homestead exemption in both chapter 13 and chapter 7 bankruptcies.
- There are also exemptions to try to keep your car in the event of bankruptcy.
- The exemption is based on the amount of equity you have in your home.
- Usually, you are required to have lived in your home for 40 months or more in order to claim an exemption.
- Typically, it is considered which you would benefit more from, selling the house or keeping the house because of the amount of equity you have in it.
- It is basically taken into consideration during the court process if selling your house could help you pay off the debt you have instead of declaring bankruptcy.
How Can DoNotPay Help?
Thanks to the user-friendly product from do not pay, you can file your bankruptcy easily! If you are ready to file your bankruptcy and start living life debt-free, this product can help you. There are five simple steps before securing your bankruptcy. It has never been easier! All you have to do is:
- Search for File for Bankruptcy on DoNotPay.
- Put together a list of your debts, expenses, and assets. If you need help accessing information like your credit report, DoNotPay can help you get your report.
- Let DoNotPay walk you through your bankruptcy options and help you determine whether a Chapter 7, Chapter 12, or Chapter 13 bankruptcy is right for you.
- DoNotPay will then help find the best credit counseling course near you, which you need to complete before filing your bankruptcy forms.
- Lastly, DoNotPay will gather all of the forms you need (including available fee waivers) and help you locate your nearest bankruptcy court. All you have to do is complete the required forms, prepare your filing fee, and file the application with your local court.
You don't have to worry about spending thousands of dollars with a lawyer trying to get your bankruptcy filed. You can achieve success and gain financial freedom with this powerful, user-friendly product. If you are sure that bankruptcy is the right option for you, start by completing these simple steps today!