Bankruptcy is beneficial to people with a large amount of debt mainly because it provides immediate relief. Right after you file for bankruptcy, wage garnishment will stop, creditors will stop calling you, utility companies have to hold off shutting off your water, gas or electricity. Cars and homes cannot be repossessed. But what happens next?
First, you’ll need to attend what is called the meeting of creditors. This will be in court, and occurs 30 to 45 days after you file.
After this meeting, you’ll be required to spend around two hours in an online debtor education course. This course will give you information on how to budget, tips on money management, and information on how to use credit wisely.
Three to four months after you file, you’ll receive a discharge for the debts that your creditors agreed to let go. At this time, it’s imperative to get a free copy of your credit report and be sure that it is accurate. Creditors and credit agencies don’t always communicate well with the court system after a bankruptcy discharge, so ensuring your credit report is accurate is up to you.
Over the past 27 years, the Law Offices of Christopher A. Benson has helped over 2,300 of Washington clients take control of their financial situations. We can stop your garnishment and change your monthly payments for all your combined unsecured debt, and if you have had more than $600 garnished within the last 90 days, we can get all of the money back in most cases. But you have to act quickly–call (253) 815-6940 for your free consultation, or email us today. Evening and weekend appointments available.
About the Author
Chris served on the Board of Directors for Habitat for Humanity
Seattle/S. King County for 10 years and served as Vice President
of the organization during part of that time. Read More