Frequently Asked Questions

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Chapter 13 Success Story

"I came to the The McCue Law firm, and when I came to them we decided on a Chapter 13. Thank God Lisa suggested that because with the Chapter 13 I was able to at least keep one of my properties."

General FAQ

  • chapter 7 bankruptcy attorney
    chapter 7 bankruptcy attorney

    What is bankruptcy?

    Bankruptcy is a legal option that people or businesses use to eliminate debts they are unable to repay. Through bankruptcy, debtors can either discharge the majority of their debts, or create a structured payment plan to repay some or all of the debt.

  • personal bankruptcy lawyer
    personal bankruptcy lawyer

    What is secured and unsecured debt and what is the difference between the two?

    A secured debt refers to claims that are tied to some type of property, like mortgages or car loans. Unsecured debt is the opposite and is not tied to any property. Typical unsecured debts include credit cards, personal loans, and medical bills. The difference between the two is that secured debts can typically be discharged only if you are willing to surrender the secured asset to the creditor. (There are some exceptions to this principle, like stripping wholly unsecured second or third mortgages in Chapter 13.)

  • Florida personal bankruptcy lawyer
    Florida personal bankruptcy lawyer

    Do I have to list all my creditors?

    Of course. Bankruptcy laws require you to give a full and complete disclosure of all your owed debts. At the meeting of creditors, you will be asked under oath if you have disclosed all your debts. Lying to cover up previous debts can lead to a denial of discharge, or even criminal prosecution.

Personal Bankruptcy FAQ

  • chapter 13 bankruptcy attorney
    chapter 13 bankruptcy attorney

    What are my options if I want to file for personal bankruptcy?

    People who file for bankruptcy normally file for either Chapter 7 bankruptcy or Chapter 13 bankruptcy. In Chapter 7, most debts are discharged and some assets might be liquidated to cover debts. Chapter 13, on the other hand, restructures your debts into an affordable monthly repayment plan. At the end of the plan, the remaining debts are discharged.

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    personal bankruptcy lawyer

    What is the better option between Chapter 7 and Chapter 13 bankruptcy?

    There is no common answer as each bankruptcy case is unique. There are different factors at play such as the types of debt you are dealing with, the assets you want to keep, and your ability to generate income and pay your debts. Generally, however, if you have minimal assets and low income, Chapter 7 is probably the better option. If you have assets you want to protect, and your income demonstrates an ability to repay some or all of your debt, then Chapter 13 may be the best option. Either way, it is better to consult with an experienced Florida bankruptcy lawyer at The McCue Law Firm before taking any action.

  • Florida personal bankruptcy lawyer
    Florida personal bankruptcy lawyer

    How often can someone file for bankruptcy?

    The rule is that a person can file for Chapter 7 bankruptcy again 8 years after previous Chapter 7 filing, or 6 years after a previous Chapter 13 filing. The rule on Chapter 13, on the other hand, is 4 years after previous Chapter 7 filing or 2 years after a previous Chapter 13 filing.

Business Bankruptcy FAQ

  • chapter 7 business bankruptcy lawyer
    chapter 7 business bankruptcy lawyer

    What is Chapter 7 bankruptcy for businesses?

    Businesses who cannot generate enough profit to pay for their debts are the ones that usually file for Chapter 7 bankruptcy. The process liquidates the assets of the company to be distributed to its creditors.

  • business chapter 7 bankruptcy
    business chapter 7 bankruptcy

    Will I have to stop my company operations if my business files for Chapter 7 bankruptcy?

    Yes. Filing for bankruptcy as a business will require you to liquidate the assets of the company through a trustee. If you are a sole proprietor, however, you may be able to file for Chapter 7 as a person instead of a business. This will allow you to discharge debts, continue to operate the business, and protect certain business assets through some exemptions.

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    attorney in fort lauderdale

    What if I want to continue my business?

    Unless you are a sole proprietor, filing for Chapter 7 will lead to the closure of your business. It is also for your protection as filing for Chapter 7 as a business only liquidates assets of the business and not your personal possessions. If you want to continue your business, you may have to seek other options like Chapter 11.

Mortgage Modification and Foreclosure FAQ

  • foreclosure process in florida
    foreclosure process in florida

    How long is the process of foreclosure and can I be evicted during the process?

    The length of the process is different for each situation. These days, it is rare to see foreclosures taking several years to complete like they did a few years back. With proper representation, however, most foreclosures today take anywhere from 1 year to 18 months from the first missed payment to the date of the auction.

  • foreclosure lawyer
    foreclosure lawyer

    If I am facing foreclosure, can I get a mortgage modification plan?

    Yes. The MMM Program is available to all debtors in the Bankruptcy Court for the Southern District of Florida. Of course, there are no guarantees the process will be successful. However, statistics show that the MMM Program is your best chance at saving your home through mortgage modification.

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    broward county foreclosure attorney

    If my loan modification fails, should I file for bankruptcy?

    There are a lot of factors to consider. Do you owe more on your property than it is worth? Is there a second mortgage that may be strippable in Chapter 13? Can you afford to cure and maintain your mortgage in a Chapter 13 plan? These, and many more questions, will be discussed at the initial consultation with a McCue Law attorney before a decision like this would be made.

Get in touch

The McCue Law Firm is dedicated to helping clients throughout Broward County and Palm Beach County. Contact us with any inquiries or questions.

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