Contact the office of Sam Henry IV Attorney At Law for a free consultation and get the facts about bankruptcy. According to Forbes, there are two primary types of consumer bankruptcies—Chapter 7 and Chapter 13—and selecting the appropriate one depends on your financial circumstances. As a bankruptcy lawyer, we'll do our best to help you learn more.

Before visiting a Chapter 13 attorney, gather as much of your financial information as possible and be honest about your assets and debts so we can advise you on the best course of action for your particular situation.

Here are a few things any bankruptcy attorney will tell you to avoid prior to filing:

• Do not pull funds from retirement accounts. These are generally exempt in bankruptcy, but the taxes and penalties for early withdrawal are not.
• Do not make excessive purchases or take large cash advances on your credit cards.
• Do not transfer property out of your name in an attempt to hide assets. Our office can advise you on legal ways to protect your property.

As a Chapter 7 attorney, we will discuss your options and the best course of action for your individual circumstances. Please bring any creditor bills or legal notices you have received from court filings or creditors with you. You are not under any obligation to make a decision at your consultation.

Before meeting with your bankruptcy lawyer, please bring:

• Driver's License or ID
• Social Security card
• Six months of pay stubs/income
• Creditor statements or bills
• Any lawsuits, citations, judgments and/or letters from creditor attorneys

Yes. Begin the filing process with a bankruptcy attorney as soon as possible so that appropriate parties can be notified prior to the sale date.

Yes. Begin the filing process with a Chapter 13 attorney as soon as possible so appropriate parties can be notified. If your vehicle has already been repossessed, filing as soon as possible can allow your vehicle to be released back to you prior to sale.

Yes. Filing for bankruptcy with a bankruptcy lawyer can prevent a pending garnishment or stop an active garnishment once the appropriate parties have been notified. Having correct information for your employer's payroll department can speed up this process once your bankruptcy is filed.

No. Spouses may choose to file jointly, but you can file for bankruptcy individually. However, information regarding the assets and wages of the non-filing spouse must be used in your statements and schedules to give an accurate picture of your financial situation. Depending on the debt, the non-filing spouse may become responsible for those debts. As a bankruptcy attorney, we can advise you on the best solution for your individual case.

These companies have minimal regulation and, in many cases, no special leverage with lenders or credit reporting agencies. Assuming they are able to settle with creditors, the monetary value of the cancelled debt is usually considered taxable income. By contrast, bankruptcy proceedings are governed by the United States Bankruptcy Code and the Federal Rules of Bankruptcy Procedure, and debt cancelled through bankruptcy is not generally considered taxable income.

If you have any further questions, contact a bankruptcy lawyer today!