Another change that was major to the bankruptcy laws involves certain hurdles that a consumer must clear before
even filing for bankruptcy protection, no matter what chapter you decide to file.
Not exact matches
Interfaith, which
filed for bankruptcy protection and nearly closed, was an
even thornier problem because of its location.
Even if your home is scheduled to be sold the next day,
filing for bankruptcy protection will temporarily stop the foreclosure.
Many
bankruptcy attorneys will give you a free consult in order to see if you really need an attorney
for filing your
bankruptcy, or whether or not you
even need to
file for bankruptcy protection.
This can mean months or
even years of aggravation, unless your financial problems are severe enough that you plan to
file for bankruptcy protection.
Often this means the end of the company, however,
even if they
file for reorganization
bankruptcy rather than a complete
protection from debtors and any debts owed.
Even if you
file for bankruptcy protection after the fact, levied property is not going to return to the
bankruptcy estate because the asset was legally taken by law.
Indeed, Reuters recounts the story of one law grad who
filed for Chapter 7
bankruptcy protection even before she graduated but is still stuck with the law school bill.