Best Bankruptcy Lawyers in Colorado Springs, CO

Filing for bankruptcy can be a daunting decision for anyone. However, if you are struggling with overwhelming debt, it may be the best option for you. In Colorado, there are two primary types of bankruptcy: Chapter 7 and Chapter 13. Each type has its own set of rules regarding what assets can be kept and which debts can be discharged. In this blog post, we'll take a closer look at three common questions that many people have when considering filing for bankruptcy: Can I keep my home and car in Chapter 13 bankruptcy? What assets are exempt in Chapter 7 bankruptcy? And finally, what debts get discharged when I file for Chapter 13 bankruptcy? 1) Can I keep my home and car in Chapter 13 bankruptcy? Chapter 13 bankruptcy is often referred to as reorganization or repayment plan bankruptcy. This means that instead of liquidating your assets to repay creditors like in Chapter 7, you create a payment plan over three to five years to pay off your debts. So, can you keep your home and car in this type of bankruptcy? The answer is generally yes! As long as you continue making payments on these assets through your repayment plan, you should be able to keep them. 2) What assets are exempt in Chapter 7 bankruptcy? Chapter 7 is often referred to as liquidation bankruptcy because some of your assets may need to be sold off to pay back creditors. However, certain types of property are considered exempt under Colorado law.