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Jul 12
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Chapter 7 Bankruptcy Requirements

By Chapter 7 Bankruptcy No Comments

Chapter 7 bankruptcy can be confusing, overwhelming, and complicated. It doesn’t have to be. 

Are you an Auburn or Opelika resident overwhelmed by debt and facing financial difficulties? Chapter 7 bankruptcy might be the fresh start you need. By filing for Chapter 7 bankruptcy, you can discharge various unsecured debts, including medical bills, credit card debt, and signature loans.

However, without the proper experience, navigating the complexities of bankruptcy can be extremely confusing. Here is a quick guide on Chapter 7 bankruptcy and the necessary requirements from David S. Clark, a Chapter 7 and Chapter 13 personal bankruptcy attorney in Opelika, Alabama. 

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

Understanding the Chapter 7 Bankruptcy Process

When you file for Chapter 7 bankruptcy, a court-ordered action called the Automatic Stay comes into effect immediately. This stay halts all debt collection attempts by creditors, offering you relief and protection.

It’s important to remember that bankruptcy doesn’t signify the end of your finances forever. Rebuilding your financial life can be challenging, but with the support of a skilled Chapter 7 bankruptcy attorney, it is far from impossible. 

To initiate the Chapter 7 bankruptcy process, you’ll need to sign a petition and file it with your local bankruptcy court. The petition includes comprehensive details such as a list of creditors, the nature and amount of their claims, your income and assets, as well as a breakdown of your expenses.

After filing for bankruptcy, an appointed trustee will review your creditors and their claims, assess your income sources, frequency, and amount, scrutinize your property and assets, and examine your expenses. This thorough examination ensures that there are no suspicions of fraud.

Qualifying for Chapter 7 Bankruptcy

Qualification for Chapter 7 Bankruptcy involves submitting your average income and disclosing any assets or unexpired leases you possess. Your bankruptcy attorney will assist you in evaluating your property and assets to determine the feasibility of liquidating them.

However, certain necessary assets may be exempt from liquidation. In such cases, the liquidation process stops completely, and you’ll need to reaffirm your obligations to the creditors. It’s important to note that Chapter 7 bankruptcy may be disapproved if the amount you’re trying to reaffirm is significant or if you’re attempting to reaffirm multiple unsecured debts.

Furthermore, every Chapter 7 bankruptcy case is going to be different. So, finding a dedicated bankruptcy attorney could be the difference between success and failure. 

David S. Clark, Your Opelika Bankruptcy Attorney

When facing the complexities and stresses of bankruptcy, having a knowledgeable bankruptcy attorney like David S. Clark by your side is invaluable. With years of expertise, a local location, and a heart to understand and encourage, David S. Clark can provide the help you need when debt feels overwhelming. 

For more information on David S. Clark, your trusted Opelika and Auburn bankruptcy attorney, contact David S. Clark today! 

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Jun 28
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How Chapter 13 Bankruptcy Affects Your Credit Score

By Bankruptcy Law, Chapter 13 Bankruptcy No Comments

Bankruptcy affects your credit score. But what are the short and long term effects?

When considering filing Chapter 13 Bankruptcy, one of the most common questions asked is “how will filing Chapter 13 Bankruptcy affect my credit score?” In short, the answer is that filing Chapter 13 Bankruptcy will damage your credit score. However, even though filing Chapter 13 Bankruptcy will damage your credit score, it doesn’t have to permanently affect your financial well being. To truly answer this question, let’s break it down a bit more.

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

What is the purpose of a credit score?

Credit scores are intended to show the likelihood of you paying your bills on time. Creditors use your credit score and credit report as some of their factors when determining whether or not to lend to you. Because the nature of Chapter 13 Bankruptcy means that you have been unable to repay all your debt in the past, it sends a negative message to creditors.

There are no two ways about it; filing Chapter 13 Bankruptcy is not good for your credit score. But, it is important to know that the negative impact of Chapter 13 Bankruptcy on your credit score is not permanent, and doesn’t have to keep you from improving your financial situation. 

How long is Chapter 13 Bankruptcy on my credit report?

The good news is that Chapter 13 Bankruptcy only stays on your credit report for 7 years. It is important to note that this does not mean your credit score will be damaged for 7 years. Usually, about 2 years after taking the initial hit from filing Chapter 13 Bankruptcy, your credit score will significantly increase, so long as you have financially responsible practices in place.

Even though the Chapter 13 Bankruptcy will remain on your credit report for 7 years, you will still be able to get credit. 7 years after the day you file Chapter 13 Bankruptcy, you will be able to contact the credit bureau and request your bankruptcy to be removed from your report. 

What effect does Chapter 13 Bankruptcy have on my credit score?

There is no set number of points that your credit score will drop by, because it depends on multiple factors like your current score and past negative items. Generally, the higher your current score, the higher the hit will be.

As you rebuild your credit score, you will still be able to receive credit. However, the effect of having a low credit score is that you will receive credit at a higher interest rate. 

How do I rebuild my credit score after Chapter 13 Bankruptcy?

The process of rebuilding your credit score after Chapter 13 Bankruptcy is essential. Practicing financially responsible habits like paying your bills on time is of utmost importance. There are also other practices that can help boost your credit score like using a secured credit card and keeping a low credit card balance. Read more about rebuilding after Chapter 13 Bankruptcy here.

David S. Clark, Your Auburn & Opelika Personal Bankruptcy Attorney 

Even though it can feel stressful and discouraging, filing Chapter 13 Bankruptcy is not the end for your credit score. Rebuilding your credit score is possible when you practice good financial habits. David S. Clark is an experienced bankruptcy attorney who understands the complications of life after bankruptcy. If you need help navigating Chapter 7 or 13 bankruptcy, contact David S. Clark today!

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Jun 08
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Is Chapter 7 Bankruptcy Right For Me?

By Bankruptcy Law, Chapter 7 Bankruptcy, Financial Tips No Comments

Are you considering filing bankruptcy?   

When considering bankruptcy, it is important to examine all of your financial options. Most personal bankruptcy cases fall under Chapter 7 bankruptcy or Chapter 13 bankruptcy. Also known as liquidation bankruptcy, Chapter 7 bankruptcy involves selling most of your assets to pay off debts.

If you’re an Auburn or Opelika resident wondering if Chapter 7 is right for you, here are a couple of essential questions you need to ask yourself.

Can I avoid bankruptcy?

Simply put, bankruptcy is when someone cannot pay their outstanding debts with the resources they currently possess. You may find yourself in this situation due to unemployment, incurring a significant amount of medical debt, or many other reasons. Just because you are in one of these situations does not always mean bankruptcy is your only option. It is best to speak with a bankruptcy lawyer to ensure that filing for bankruptcy is the best solution for you. Read more here.

When you are uncertain about what next step to take, there are experienced and knowledgeable bankruptcy attorneys like David S. Clark in the Auburn and Opelika area that can help you sort through all of your options and determine your best next step.

 

What kind of debt is discharged in Chapter 7 Bankruptcy?

Not all forms of debt are created equal, and not all debts can be discharged through Chapter 7 bankruptcy. Before deciding if Chapter 7 bankruptcy is right for you, consider what kind of debt you are looking to discharge.

Some common forms of debt that are dischargeable through Chapter 7 bankruptcy include: 

  • Credit card balances (including overdue and late fees)
  • Medical bills
  • Personal and payday loans 
  • Mortgage or automobile loans for which you are unable to pay
  • Utility bills
  • Social Security overpayments
  • Veterans’ assistance loans and overpayments

Some common forms of debt that are non-dischargeable include:

  • Child support
  • Alimony
  • Student loans
  • HOA fees
  • Secured debts

 

What could I be giving up?

Giving up physical assets to help balance debt is required in most cases. Items that can be taken by the state to help balance your debt are known as nonexempt assets. Exempted assets are those that cannot be taken by the state to balance your debt. Learn more here.

Bankruptcy laws generally exempt assets that are deemed as necessities to life, such as:

  • Your car (depending value)
  • Your home (depending on its value)
  • Clothing 

Some typically nonexempt items may include:

  • Property that is not your primary home
  • A newer model vehicle with equity
  • Investments
  • Valuable artworks
  • Jewelry

 

What does the Chapter 7 Bankruptcy timeline look like?

After being filed, a Chapter 7 bankruptcy case in the Auburn and Opelika area can typically be resolved in about 4 months when conducted by an experienced personal bankruptcy attorney such as David S. Clark. Filing for Chapter 7 bankruptcy can give you a financial reset, telling creditors to take a step back and giving you some breathing room to figure out your next steps without the added stress of having to deal with them.

Once you have successfully discharged your debts, you can begin to rebuild your credit through financially responsible practices such as paying bills on time, keeping a low credit card balance, and limiting applications for new credit. 

 

Who can help me navigate Chapter 7 Bankruptcy?

Although the process of filing for bankruptcy and the process to financial recovery can be stressful and difficult, there are personal bankruptcy attorneys like David S. Clark who are more than willing to walk with you through this process. You do not have to go into this battle alone. Having an attorney present during the process of filing for bankruptcy takes some of the load off your shoulders and guarantees you are taking all of the correct steps. 

If you’re an Opelika or Auburn, Alabama resident struggling with the weight of overwhelming debt and seeking the financial advice, wisdom, and encouragement of an experienced bankruptcy attorney, contact David S. Clark! You can get started by requesting a free consultation today. 

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

May 26
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How to Choose the Right Bankruptcy Attorney in Alabama

By Attorneys & Lawyers, Bankruptcy Law No Comments

It can be hard to find the right bankruptcy attorney, thankfully, you don’t have to do it alone.  

If you’re struggling with the weight of debt and considering bankruptcy, it’s important to have an experienced personal bankruptcy attorney on your side. Yet, with so many bankruptcy law firms available, choosing one can be even more overwhelming. Thankfully, you don’t have to make the choice alone. Here are a few essential factors to consider when selecting a bankruptcy attorney in Alabama. 

What is Bankruptcy?

Before explaining a few essential factors of a bankruptcy attorney, it is important to provide a brief explanation of what bankruptcy is. Essentially, when it comes to personal bankruptcy, there are two main types: Chapter 7 and Chapter 13. Chapter 7 bankruptcy allows individuals and businesses to discharge their debts, while Chapter 13 bankruptcy involves a repayment plan.

Each chapter has specific eligibility requirements and follows distinct processes. To learn more about which chapter of bankruptcy may be most suitable for your situation, click here!

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

Auburn and Opelika Expertise 

Auburn and Opelika may be smaller than cities like Huntsville or Birmingham, but that’s where their neighborly atmosphere shines. So, when it comes to a bankruptcy attorney, it is essential to not only find an attorney who has extensive knowledge of Alabama bankruptcy laws, but one who treats you as your neighbor would–with love and care. 

Experience and Specialization

When it comes to a successful personal bankruptcy case, finding a bankruptcy attorney who truly understands your wants and needs is crucial. However, their experience and specialization play a pivotal role. Therefore, it’s essential to research different attorneys, read reviews, and ensure that the law firm you choose has extensive knowledge in personal bankruptcy, particularly in Chapter 7 and Chapter 13 cases.

Personalized Approach

Furthermore, since every bankruptcy case is different, a dedicated bankruptcy attorney must be able to adapt and improvise depending on your unique financial situation. By working closely with you, a bankruptcy attorney can also create a tailored plan that addresses your concerns and helps you achieve the best possible outcome.

The Difference With David S. Clark, Your Opelika Bankruptcy Attorney

Choosing the right bankruptcy attorney is a crucial step towards financial freedom. With David S. Clark, a seasoned Chapter 7 and Chapter 13 bankruptcy attorney in Auburn and Opelika, Alabama, you can trust that you’ll receive experienced legal representation and compassionate guidance. His local expertise, specialization, client testimonials, personalized approach, and excellent communication make him the ideal choice for Auburn or Opelika residents seeking a fresh financial start through bankruptcy.

Take the first step towards a brighter financial future by scheduling a consultation with David S. Clark today!

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

May 11
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3 Signs You May Need to File for Bankruptcy

By Bankruptcy Law, Financial Tips No Comments

Bankruptcy is often misunderstood and could actually lead to a life of financial peace.

Even with the most meticulous planning and as much as we try to avoid it, financial hardship and bankruptcy can happen to anyone. Also, with many myths surrounding it, bankruptcy is often dismissed as a viable solution for many Auburn or Opelika residents. Some even believe that filing for bankruptcy means the end of their finances forever. However, bankruptcy is often misunderstood and could actually lead to a life of financial peace.

Despite that, deciding whether or not to file for bankruptcy is a major decision that requires careful consideration. So, here are three signs that may indicate it’s time to speak with a bankruptcy attorney about your options from David S. Clark, an experienced personal bankruptcy attorney in Opelika, Alabama. 

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

Overwhelming Debt

When the weight of debt becomes seemingly unmanageable, it can be challenging to pay even the minimum amount owed. This not only leads to deeper debt but can even add a significant burden to your daily life. More debt can also lead to late fees, penalties, and interest charges, making it even harder to get out of debt.

Unmanageable debt is often a strong indication that it may be time to talk to an experienced bankruptcy attorney about your options. Depending on your situation, Chapter 7 or Chapter 13 bankruptcy may be able to help by consolidating your debts and allowing you to make more manageable payments. In some cases, it may even be possible to discharge some or all of your debts, giving your finances a fresh start.

Debt Collection Harassment & Threats of Legal Action

Beyond the effect that overwhelming debt can have on you and your family, creditors can sue you for non-payment of debt, leading to wage garnishment, property liens, or even the seizure of a number of your assets.

Thankfully, filing for Chapter 7 or Chapter 13 bankruptcy can halt legal action and protect your valuable assets. When you file for bankruptcy, an automatic stay goes into effect, which puts an immediate stop to creditor actions, including lawsuits and wage garnishment.

Lack of Savings

While the lack of a savings account does not mean bankruptcy, it can act as a warning of what could happen in the future. Ultimately, without a financial cushion, a single unexpected expense, such as a medical emergency, car repair, or job loss, can quickly spiral into financial distress. 

Filing for bankruptcy can help you get back on your feet by giving you a fresh start. It can discharge your debts, freeing up your income to rebuild your savings and secure your financial future

David S. Clark, Your Auburn & Opelika Personal Bankruptcy Attorney 

In conclusion, if you are struggling with overwhelming debt or facing legal action from creditors in Alabama, filing for bankruptcy may be a viable solution. However, it’s essential to speak with an experienced bankruptcy attorney in Alabama to understand your options. 

At David S. Clark, we are dedicated to helping our clients in Auburn or Opelika achieve financial freedom. Contact us today to schedule a free consultation and learn more about how we can help you with Chapter 7 or Chapter 13 bankruptcy. 

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Apr 25
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Understanding Bankruptcy: Chapter 7 vs. Chapter 13

By Bankruptcy Law, Financial Tips No Comments

Chapter 13 vs. Chapter 7 and how an experienced bankruptcy attorney can help.

Bankruptcy can be difficult to comprehend due to its complex nature. In addition to the myths surrounding it, one of the more confusing aspects is the types of chapters available for Alabama residents to file for.

Thankfully, when it comes to bankruptcy, you don’t have to walk through it alone. Here is a quick breakdown of the difference between Chapter 7 and Chapter 13 from David S. Clark, an experienced bankruptcy attorney in Opelika, Alabama. 

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

Chapter 7 Bankruptcy

Chapter 7, also known as “liquidation bankruptcy,” is the most commonly filed type of bankruptcy in the United States. This type of bankruptcy enables you to regain control of your finances by having a bankruptcy court discharge most of your unsecured debt. 

By eliminating these debts, Chapter 7 bankruptcy can provide a fresh start for any Auburn or Opelika resident seeking freedom from the, often, overwhelming weight of debt. 

Dischargeable debts under Chapter 7 include:

  • Credit card balances (including overdue and late fees)
  • Medical bills
  • Personal and payday loans 
  • Mortgage or automobile loans for which you are unable to pay
  • Utility bills
  • Social Security overpayments
  • Veterans’ assistance loans and overpayments

Non-dischargeable debts under Chapter 7 Include:

  • Non-dischargeable debts under Chapter 7 include:
  • Child support
  • Alimony
  • Student loans
  • HOA fees
  • Secured debts

Furthermore, in every Chapter 7 Bankruptcy case, the bankruptcy court assigns an impartial case trustee that faces your debtors for you. Ultimately, these appointed trustees aren’t working to make money for the creditors or to make your debts magically disappear. They seek the best route forward for both parties.

Chapter 13 Bankruptcy

Chapter 13 bankruptcy, while similar to Chapter 7, focuses more on the idea of repayment and reorganization. Ultimately, unlike Chapter 7, Chapter 13 provides more flexibility in terms of debt repayment, allowing residents to catch up on missed mortgage payments or car payments.

In Chapter 13 bankruptcy, a dedicated bankruptcy attorney creates a repayment plan to pay off your debts over a period of three to five years. The repayment plan is based on a number of items such as your income, expenses, and the types of debts owed.

Which Type of Bankruptcy is Right for You?

The type of bankruptcy that is right for you will depend on your unique financial situation. If you have little to no disposable income and cannot pay off your debts, Chapter 7 bankruptcy may be the best option. However, if you have a regular income and want to keep your assets while paying off your debts, Chapter 13 bankruptcy may be a better fit.

Ultimately, consulting with an experienced bankruptcy attorney is essential to determine which type of bankruptcy is right for you. They can evaluate your financial situation and help you make an informed decision.

Before anything, it is also important to remember that while debts can appear similar, every financial situation is unique. So, before filing for bankruptcy, it is important to understand that bankruptcy is not the end. With the help of an experienced bankruptcy attorney, like David S. Clark, you can not only have an advocate, but a friend to encourage you through the entire process. 

If you’re an Opelika or Auburn, Alabama resident struggling with the weight of overwhelming debt and seeking the financial advice, wisdom, and encouragement of an experienced bankruptcy attorney, contact David S. Clark today!

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Apr 12
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How to Stop Debt Collection Harassment

By Bankruptcy Law, Financial Tips No Comments

The weight of debt can be overwhelming, especially when it comes to the, seemingly, never-ending harassment from creditors. Thankfully, you have rights and protections that can help you put an end to debt collection harassment. 

If you’re struggling with the weight of debt in Auburn or Opelika, Alabama, you, unfortunately, may be all too familiar with the harassing phone calls, threatening letters, and other aggressive tactics used by debt collectors. 

The constant harassment can be overwhelming and make your financial situation even more stressful. However, as a resident of Alabama, you have rights and protections under federal and state laws that can help you put an end to debt harassment. Here are a few ways you can improve your financial situation and put a stop to debt collection harassment from David S. Clark, an experienced bankruptcy attorney in Opelika, Alabama. 

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

The Fair Debt Collection Practices Act (FDCPA)

The Fair Debt Collection Practices Act (FDCPA) is a federal law that regulates the behavior of debt collectors and provides Auburn or Opelika residents with certain rights when dealing with a multitude of debt collection activities. Under the FDCPA, debt collectors are prohibited from engaging in abusive or unfair practices, including:

  • Harassment, such as making repeated phone calls, using profane language, or even threatening violence.
  • False or misleading representations, such as a misrepresentation of the amount of debt, falsely claiming to be an attorney or government representative, or threatening legal action they do not intend to take.
  • Unfair practices, such as unauthorized fees or charges to debts. 

Unfortunately, this doesn’t always stop creditors, as debt collection harassment can even continue after you’ve filed for bankruptcy. 

What if a Creditor Contacts Me During Bankruptcy?

Under Section 524 of the U.S. Bankruptcy Code, once your debt has been discharged through bankruptcy, you are protected by what is known as the “automatic stay”. This legal action is immediately ordered and enforced by the bankruptcy court in Auburn or Opelika, preventing any creditor from taking further action against you.

The automatic stay makes it illegal for creditors to contact you in an attempt to collect any debt that has been discharged through bankruptcy. This means they cannot call, email, visit, or take any other action to collect a debt from you.

It’s important to note that not all debts are discharged through bankruptcy, so it’s essential to understand which debts are eligible for discharge in your specific case.

Unfortunately, there are instances when creditors still attempt to contact you, which violates the protections of the automatic stay. If a creditor knowingly and willfully violates the automatic stay with the intent to collect a debt, the court can impose sanctions against the creditor with the assistance of your bankruptcy attorney.

David S. Clark, Your Dedicated Bankruptcy Attorney

If you are being harassed by unethical debt collection tactics, it is important to seek the help of a trusted Auburn and Opelika bankruptcy attorney to fight on your behalf. David S. Clark has years of experience and understands how overwhelming debt, bankruptcy, and creditors can be. 

If you are an Auburn or Opelika resident facing debt collection harassment, contact David S. Clark as soon as possible to discuss your situation in complete confidentiality. 

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Mar 27
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Does Bankruptcy Affect Employment Status?

By Bankruptcy Law, Financial Tips No Comments

It is very rare for employers to find out about your bankruptcy status. In fact, you are not legally required to inform your employer of your Chapter 7 or Chapter 13 bankruptcy.

Although filing for bankruptcy can be seen as a fresh start for your finances, it can also come with some costs. Many people worry what the consequences will be after filing for Chapter 7 or Chapter 13 bankruptcy. Questions arise such as: “Will my employer find out about my bankruptcy?”, “Can my employer fire me because I filed for bankruptcy?” or “Is there a chance that bankruptcy will affect my future employment?”

Rest assured knowing that you can not be fired solely due to the fact that you filed for bankruptcy. However, in some situations, it could possibly prevent you from getting a job within a private industry in the future.

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

Can I Lose My Job Due to Bankruptcy?

An employer can not legally fire you because of your bankruptcy. Even more, an employer can’t change the terms and conditions of your employment based on your bankruptcy filing. 

For example, your employer is not allowed to:

  • Reduce your salary
  • Downgrade your position
  • Take away your specific responsibilities, or
  • Terminate your employment

If for some reason you are fired shortly after filing for bankruptcy and there are no other justifications for your dismissal, you may have a case against your employer for illegal bankruptcy discrimination. However, keep in mind that bankruptcy can’t protect you from other misconduct, such as tardiness, inability to get the job done and dishonesty.

Could Bankruptcy Affect My Future Employment?

When applying for jobs, no federal, state or local government agency can take your bankruptcy into consideration when deciding whether to hire you. On the other hand, private employers have the power to do so.

The only time this really causes problems against someone who has filed for bankruptcy is for certain jobs that deal with money. For example, if you are applying for a job such as accounting or bookkeeping, employers tend to be more cautious.

Will My Employer Find Out About My Filed Bankruptcy?

It is very rare for employers to find out about your bankruptcy status. In fact, you are not legally required to inform your employer of your Chapter 7 or Chapter 13 bankruptcy.

Although it is very unlikely, these are the most likely ways that an employer could find out:

  • Wage garnishments. If your wages were being garnished previously, your employer will be notified to stop the wage garnishments due to your debt being discharged. 
  • Chapter 13 payments. This is very uncommon, but if you have filed for Chapter 13 bankruptcy, a few jurisdictions require your debt reorganization payments to be deducted from your paycheck, which would make your employer aware.
  • Owing your employer money. If for instance, you have to pay back a wage overpayment, you will have to list that as one of your debts in your bankruptcy paperwork, and your employer will be notified of that.

David S. Clark – An Experienced Bankruptcy Attorney Here to Help You!

If you have worries about the consequences of Chapter 7 or Chapter 13 bankruptcy affecting your employment status, contact David S. Clark today!

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Mar 13
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The Role of a Bankruptcy Attorney

By Bankruptcy Law, Financial Tips No Comments

A quick breakdown of the helpful role an experienced bankruptcy attorney provides in your unique bankruptcy case

Filing for bankruptcy can be an overwhelming, complex, and complicated process that requires time, experience, and knowledge of how the Alabama legal system works. Thankfully, you don’t have to go through this process alone. 

Below is a helpful explanation of the role of a bankruptcy attorney, and what to expect during bankruptcy from David S. Clark, an experienced bankruptcy attorney in Opelika, Alabama.

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

What is Bankruptcy?

Before walking through the specific tasks of a bankruptcy attorney, it is important to provide a brief explanation of what bankruptcy is. Essentially, when it comes to personal bankruptcy, there are two main types: Chapter 7 and Chapter 13. Chapter 7 bankruptcy allows individuals and businesses to discharge their debts, while Chapter 13 bankruptcy involves a repayment plan.

Each chapter of bankruptcy requires certain qualifications and includes different processes. For more information on which chapter of bankruptcy could be best for you, click here! 

Initial Bankruptcy Consultation

Before any plans are drawn up, a bankruptcy attorney’s initial consultation is essential to your journey toward a fresh start. During this consultation, your attorney will evaluate your financial situation and provide advice on the best course of action. 

Additionally, the attorney will review your debts, assets, and income to determine if you qualify for bankruptcy and discuss the potential consequences of filing.

Preparation of Bankruptcy Paperwork

After your initial consultation, the bankruptcy process begins. One of the most important roles of a bankruptcy attorney is to prepare and file the necessary paperwork for your unique bankruptcy case. This process can be complex and time-consuming, and it requires a thorough understanding of Alabama’s bankruptcy laws and regulations. 

Your attorney will work closely with you to gather all the required information and documentation, such as financial records, tax returns, and asset listings. With this information, your attorney will prepare the necessary forms, including the bankruptcy petition, schedules, and statements, ensuring that everything is complete and accurate. 

Representation in Court

Another important role of a bankruptcy attorney is to represent you in court throughout the bankruptcy process. Your attorney will attend all necessary court hearings, including the meeting of creditors and the confirmation hearing, to advocate for your specialized interests. 

They will present evidence and arguments to the bankruptcy trustee and the judge, and answer any questions they may have about the case. Throughout this process, the attorney’s goal is to not only protect your rights but ensure your best interests are being served.

Post-Bankruptcy Guidance

There are a number of myths surrounding bankruptcy, especially when it comes to the consequences. 

David S. Clark and his team of professionals understand the overwhelming nature that bankruptcy can present. While it may be easy to find information about the best course of action to take, what is actually true about bankruptcy, or ways to cheat the system–an experienced bankruptcy lawyer could be the difference in the future of your finances forever. 

If you are an Auburn or Opelika resident seeking the help of an experienced bankruptcy attorney, contact David S. Clark today!

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Feb 27
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Personal Bankruptcy FAQ

By Bankruptcy Law, Financial Tips No Comments

Frequently asked questions about bankruptcy and how an experienced bankruptcy attorney can help.

If you’re an Auburn or Opelika resident struggling with debt, bankruptcy may seem like a daunting but necessary option to get a fresh financial start. However, due to the seemingly complex nature of bankruptcy, many people, naturally, have questions and concerns about the bankruptcy process. 

Below are a few of the most commonly asked questions about bankruptcy to help you understand the process and make informed decisions about your financial future. 

So, whether you’re an Opelika resident considering bankruptcy as a way to manage your debt or you simply want to learn more about the process, here are a few of the answers you may need from David S. Clark, an experienced bankruptcy attorney in Opelika, Alabama. 

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

Will I lose my home if I file for bankruptcy?

As mentioned, bankruptcy is a daunting idea for several reasons, but the ability to lose your home often causes many Alabama residents to shy away from even the thought of bankruptcy. 

The answer to this question depends on a number of important factors such as the type of bankruptcy you file for (as shown below), the amount of equity in your home, and more. 

If you file for Chapter 7 bankruptcy, your home may be at risk if you have a significant amount of equity in it. However, if you file for Chapter 13 bankruptcy, you may be able to keep your home as long as you continue making payments under the court-approved repayment plan. 

Ultimately, when it comes to personal bankruptcy, every case is going to be different, so it is essential to communicate with a dedicated bankruptcy attorney on the best options that could protect your home. 

Will bankruptcy stop debt collection harassment?

According to Section 524 of the U.S. Bankruptcy Code, no one can take action against you if your debt has been discharged through bankruptcy. Known as the “automatic stay”, this action is immediately ordered and enforced by the bankruptcy court as soon as you file for bankruptcy. 

Ultimately, the automatic stay makes it illegal for creditors to contact you about any discharged debt once you file for bankruptcy. This means creditors can’t call, email, visit, or do anything that attempts to collect a debt from you. 

It is important to note that although creditors can no longer contact you regarding discharged debts, not all debts are discharged through bankruptcy.

When should I file for bankruptcy?

Unfortunately, when it comes to bankruptcy, there is no simple answer to this question as it depends on your individual circumstances. Generally speaking, if you’re struggling with overwhelming debt and are unable to make timely payments, it may be time to consider filing for bankruptcy. 

Other instances could include situations where you’re facing foreclosure, wage garnishment, or constant harassment from creditors. However, it is important to note that filing for bankruptcy should not be taken lightly, and seeking the counsel of an experienced bankruptcy attorney first is essential.

David S. Clark – A Local Lawyer Dedicated To You

While these are a few of the more popular questions about bankruptcy, it is important to remember that every personal bankruptcy case will be different. Yet, you don’t have to go through it alone. 

If you are an Auburn or Opelika resident ready to file for Chapter 7 or Chapter 13 bankruptcy or simply seeking the financial help of an experienced bankruptcy attorney, contact David S. Clark today!

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

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