Chapter 12 is a simplified reorganization for family farmers, modeled after Chapter 13, where the debtor retains his property and pays creditors out of future income. Certain debts that cannot be discharged in Chapter 7 can be discharged in Chapter 13. Chapter 13 also provides a mechanism for individuals to prevent foreclosures and repossessions, while catching up on their secured debts. As soon as your bankruptcy petition is filed with the bankruptcy court, all efforts by your creditors to collect money from you must stop. This includes telephone calls from collectors.
Bankruptcy law is designed to offer people a fresh start.
No one would be able to gain a fresh start without a foundation to build on. One of the benefits of representation by this office, rather than filing bankruptcy without representation, is a careful review of your case to insure that your right to exemptions is protected. Failure to properly claim exemptions can result in a loss of your property you would otherwise be able to keep. A person can receive a discharge under Chapter 7 of the Bankruptcy Code every six years. If your previous bankruptcy was a Chapter 7, and it was less than six years ago, you will not be able to receive another discharge under Chapter 7, though you still may be able to seek relief under Chapter 13.