If you are among the 25% of Americans who are struggling to pay their bills during the COVID19 pandemic, bankruptcy might be the right option for you. Regardless of the circumstances, financial difficulties can cause stress, anxiety, and depression, which can have a lasting effect on your family. But, filing for bankruptcy can seem like a confusing and overwhelming process for many. To help you learn more, we have compiled a list of frequently asked questions about bankruptcy in New Hampshire.
1. How do I know if Bankruptcy is Right for Me?
Filing for bankruptcy might be the right option for you if you have large amounts of unsecured debts. Unsecured debt, such as medical bills or credit card debt, unlike house or car loans, are typically not paid in a bankruptcy. When you have this type of debt, your debt is just discharged and you get to keep your assets. This can be a huge relief for anyone who is struggling to keep up with payments.
2. What’s the Difference Between Chapter 7 and Chapter 13?
According to Credit Karma, filing chapter 7 can help you clear all or some of your debts, but you will may have to surrender any excess cash or other excess assets. But “excess” is a high standard and most individuals assets don’t exceed those limits. When you file chapter 13, you essentially agree on a new repayment plan with your creditors, and you would get to keep “excess assets”.
3. How Do I Start The Bankruptcy Process in New Hampshire?
In New Hampshire you must take an on-line or telephone “course” which takes about 2-hours of your life that you will never get back and learn little to nothing, but it is required within six months of filing bankruptcy. After you’ve done that, you will need to gather the appropriate documents including:
– Income statements for the last two years
– Major financial transactions for the last two years
– A list of all secure and unsecured debts
– Documents for any property you own. Such as the deed to your home or title to your car.
4. Do I need a Bankruptcy Attorney in New Hampshire?
While it is not required to hire a bankruptcy attorney in the state of New Hampshire, it is immensely helpful to have an expert on your side. An experienced Attorney will walk you through the process, ensuring it goes as quickly and smoothly as possible so that you case is more likely to be approved. Since the process can be confusing and complex, it is best to have someone in your corner who knows the ins and outs and can make sure you are filing the right documents and that everything is going to work out in your favor.
If you have more questions about filing bankruptcy in New Hampshire, schedule a free consultation with Seufert Law today. We can do Zoom or telephonic consultations, or in-person. Our experienced bankruptcy specialists will work with you to determine what options you have and ensure everything works out in your favor. Call now to get started.