In Georgia, claimants must follow specific guidelines when filing for chapter 7 bankruptcy. These guidelines begin with income restrictions and adequate documentation. The claimant must provide financial statements for the last six months to prove their income level. The following are questions about claims answered by Bankruptcy Attorneys in Jonesboro GA.
What is a Reaffirmation Agreement?
A reaffirmation agreement defines debts that are valid. The consumer reaffirms the debt through chapter 7. The agreement implies that the consumer takes responsibility for the debt. The debt isn’t included in the bankruptcy claim through these measures. However, the consumer settles it with disposable income left over after monthly obligations. If the consumer chooses not to reaffirm the debt, they must surrender the associated asset to their creditor.
Can Creditors Seize Wages or Property After Chapter 7?
No, the creditor cannot seize the consumer’s wages or property after the claim has concluded. The purpose of the claim is to address outstanding debts. All outstanding balances such as late charges and missed payments are managed through the claim. This strategy brings the consumer up-to-date and provides asset protection.
Are There Debt Minimums for Filing for Bankruptcy?
No, the consumer doesn’t need a specific debt value to file for chapter 7 bankruptcy. The only requirement for these claims is adequate assets or properties that generate funds. The total value of the nonexempt assets must present the value needed to settle the consumer’s debts.
When Does the Automatic Stay Start?
The automatic stay begins when the bankruptcy claim is filed. For this reason, the court allows claimants to file a short-form to start the case. It consists of three basic pages. However, the claimant must complete the remainder of the forms before their next scheduled court appearance. Typically, the first appearance is the meeting of creditors.
In Georgia, consumers file for bankruptcy to acquire protection against foreclosure and repossession. During the process, they must reaffirm debts or surrender the assets used to secure the debt. They review measures to prevent seizure of their assets or wages after bankruptcy.