Bankruptcy reform passed and became effective for all cases filed on or after October 17, 2005. If you are a Debtor in an existing Chapter 13 case filed prior to October 17, 2005 you can convert your case to Chapter 7 under the "old" law.

 

If you are a Creditor who wants to take action in a bankruptcy case (old or new law), please contact us by email or call for an appointment 254-752-GARY (4279). We handle bankruptcy cases filed in the Western District of Texas, Waco Division.

 

If you are a Debtor interested in filing bankruptcy, please contact us by email or call for an appointment 254-752-GARY (4279). We serve debtors who live in the following counties: Bell, Bosque, Coryell, Falls, Freestone, Hamilton, Hill, Limestone, McLennan, Milam, Robertson, and Somerville.

 

Bankruptcy Reform was sold to the public as a cure for rich people abusing bankruptcy by running up their credit cards and then despite an easy ability to pay them, filing bankruptcy and keeping all the "stuff" they bought on credit. It was further sold as a way to force these "rich" debtors to file under Chapter 13 instead of Chapter 7. Our experience is most debtors fall into one of four categories: 1. sudden illness with overwhelming medical bills, 2. loss of income, 3. misunderstanding interest and minimum payments, or 4. living above their means. Many debtors have repaid most or all of the original debt and actually only owe penalties and interest by the time they file bankruptcy.

 

 

1. Meet with an attorney to find out your options. Most attorneys give a free consulation.
2. Prepare paperwork and gather information for your attorney. Pay up front costs. Take approved credit counseling class.
3. Meet with your attorney to review and sign your bankruptcy petition, schedules, statements, and, if applicable, plan.
4. Your attorney files your case, your creditors are notified and must cease collection activity against you.
5. You attend a meeting of creditors called the 341 meeting. Creditors are invited but rarely attend. You prove your identity with your drivers license, state ID, or military ID, and social security card. The trustee asks you questions to verify the information you provided to the court.
6. You take a second credit counseling class.  Some of the following may happen depending on the facts of your case: hearings on: motions, objections, adversaries, confirmation.
7. In Chapter 12 and 13 you make your plan payments. In Chapter 7 your non-exempt assets (if any) are liquidated to pay your creditors.
8. If you are legally entitled, you receive a discharge! Discharged debts may never legally be collected on.