Financial struggles can hit anyone, and sometimes, bankruptcy is the only option. But the process of filing for bankruptcy can be long, complex and confusing. Do you know what your rights are when it comes to bankruptcy in Colorado? From what assets you can keep to what debts you can discharge, this blog post will provide you with information you need to understand your rights in the bankruptcy process.

Can I keep my home and car in Chapter 13 bankruptcy?

Chapter 13 bankruptcy, also known as a wage earner’s plan, enables individuals with regular income to repay some or all of their debts in a structured repayment plan over a period of three to five years. The good news is, in Chapter 13 bankruptcy, you can keep your home and car. However, you will still have to pay secured debts like mortgages and car loans, and they may need to be paid in full over the course of your repayment plan. It’s important to speak with a trusted bankruptcy attorney to understand your options and how the process will impact your assets.

What assets are exempt from Chapter 7 bankruptcy?

Chapter 7 bankruptcy, also known as liquidation bankruptcy, is a process that liquidates most of your assets to pay off your creditors. However, some assets are exempt from this process, and you can keep them. These exemptions can vary by state. In Colorado, some of the most common exemptions include homestead exemptions, retirement accounts, and personal property like clothing and furniture. It’s important to understand these exemptions before filing for Chapter 7 bankruptcy because it’s a non-negotiable part of the process.

What debts get discharged when I file for Chapter 13 bankruptcy?

In Chapter 13 bankruptcy, you may not be able to discharge all your debts, but you can develop a manageable repayment plan that can help eliminate some debt over time. Some debts that may be included in your repayment plan include unsecured debts such as credit card bills, personal loans, and medical bills. However, it’s important to keep in mind that secured debts like a mortgage or car payment will still need to be paid. Again, it’s critical to have a trusted bankruptcy attorney in Colorado walk you through the process and the options that are available to you.

At Law Offices of Andrew F. McKenna, P.C. we can assist the Colorado Public with bankruptcy matters.

If you’re filing for bankruptcy in Colorado, it’s essential to seek help from a bankruptcy attorney who can guide you through the bankruptcy process. At the Law Offices of Andrew F. McKenna, P.C., we’ve helped individuals and families navigate bankruptcy for more than 30 years. Our team of skilled attorneys can guide you through the bankruptcy filing process and protect your rights so you can get back on your feet financially. We have extensive experience in both Chapter 7 and Chapter 13 bankruptcies and can help you identify the best solution for your unique situation.

Bankruptcy can feel overwhelming, but whether you’re filing for Chapter 7 or Chapter 13 bankruptcy, it’s critical to understand your rights. By knowing what debts you can discharge, what assets you can keep, and what exemptions apply in Colorado, you can position yourself for the best possible outcome. At the Law Offices of Andrew F. McKenna, P.C., we’re here to help you get through the bankruptcy process with confidence. Contact us today to speak with an attorney and learn more about how we can help you.