South Central Florida/Highlands/Big Cypress Bankruptcy Lawyer
Navigating financial hardship can be overwhelming, especially when debt piles up, creditors call nonstop, and foreclosure looms. If you’re struggling with financial obligations, bankruptcy may provide the relief you need. A South Central Florida/Highlands/Big Cypress bankruptcy lawyer can help you understand your options and guide you through the process, whether you are considering Chapter 7, Chapter 13, or another form of debt relief. Nowack & Olson, PLLC has the experience and knowledge to help you regain financial stability.
Common Types of Bankruptcy
Bankruptcy offers individuals and businesses the ability to discharge or restructure their debts under federal law. The most common types include:
Chapter 7 Bankruptcy (Liquidation): Chapter 7 is the most common form of bankruptcy for individuals struggling with debt. It allows qualifying filers to eliminate most unsecured debts, such as credit card bills and medical expenses, by liquidating non-exempt assets. However, Florida law provides strong exemptions, often allowing individuals to keep their homes, vehicles, and essential assets.
Chapter 13 Bankruptcy (Repayment Plan): For those with a regular income, Chapter 13 allows debtors to reorganize and repay their debts over three to five years. This option is useful for individuals facing foreclosure, as it enables them to catch up on missed mortgage payments while keeping their property.
Chapter 11 Bankruptcy (Business Reorganization): Businesses or individuals with substantial debt can file Chapter 11 to restructure their obligations while continuing operations. While typically used by businesses, some individuals with high-value assets and complex financial situations may also benefit from Chapter 11.
Debt Settlement vs. Bankruptcy: Debt settlement involves negotiating directly with creditors to lower the amount owed. While this can be an option for some, it often takes years, may damage credit scores, and does not provide the legal protections bankruptcy offers.
Common Bankruptcy Issues
Understanding potential challenges in bankruptcy can help individuals make informed decisions. Some of the most common issues include:
- Qualifying for Chapter 7 – Individuals must pass the means test to be eligible for Chapter 7, ensuring their income is below the state median.
- Keeping Assets – Florida has generous exemptions, but some assets may still be subject to liquidation.
- Dealing with Foreclosure – Chapter 13 allows individuals to stop foreclosure and repay overdue mortgage payments over time.
- Tax Debt – Not all tax debts are dischargeable in bankruptcy, though some older income tax obligations may be wiped out.
- Co-Signed Debts – If a friend or family member co-signed a loan, their financial responsibility may remain even if you file for bankruptcy.
Debt and Credit Repair
After bankruptcy, rebuilding credit is essential for financial recovery. Some steps to restore credit include:
- Reviewing Your Credit Report – Ensure all debts discharged in bankruptcy are correctly updated on your credit report.
- Applying for a Secured Credit Card – This can help reestablish credit responsibly with a deposit-backed credit limit.
- Making On-Time Payments – Paying bills on time, including rent and utilities, helps build positive credit history.
- Keeping Credit Utilization Low – Using only a small portion of available credit limits can improve scores over time.
- Avoiding New Debt – Taking on unnecessary loans immediately after bankruptcy can lead to financial trouble.
Foreclosure and Bankruptcy
Many homeowners consider bankruptcy when facing foreclosure. Chapter 13 bankruptcy can stop foreclosure and allow homeowners to catch up on overdue mortgage payments through a court-approved repayment plan. Chapter 7 may temporarily halt foreclosure proceedings but does not provide a long-term solution for keeping a home.
How Nowack & Olson, PLLC Can Help
Nowack & Olson, PLLC is dedicated to helping individuals in South Central Florida, Highlands, and Big Cypress navigate bankruptcy and achieve financial freedom. With extensive experience in bankruptcy law, our firm offers:
- Personalized Legal Guidance – Every case is unique, and we tailor our approach to your financial situation.
- Bankruptcy Protection – We help clients understand exemptions, protect assets, and maximize debt relief.
- Foreclosure Defense – If you are facing foreclosure, we can help you explore options to keep your home.
- Credit Repair Assistance – Our firm offers advice on rebuilding credit after bankruptcy.
- Debt Negotiation & Settlement – We evaluate if alternatives to bankruptcy, such as debt settlement, are viable solutions.
If you are struggling with debt, our firm is ready to help. Contact us today for a consultation.
Bankruptcy FAQ
Will bankruptcy eliminate all my debts?
Bankruptcy can eliminate most unsecured debts, including credit cards, medical bills, and personal loans. However, certain obligations, such as child support, alimony, and most student loans, are generally non-dischargeable.
Can I keep my house and car if I file for bankruptcy?
Yes, Florida provides strong homestead and vehicle exemptions. Most individuals filing for Chapter 7 can keep their homes and vehicles if they are current on payments. Chapter 13 allows filers to catch up on missed payments.
How long does bankruptcy stay on my credit report?
Chapter 7 bankruptcy remains on your credit report for 10 years, while Chapter 13 stays for 7 years. However, many people start rebuilding credit within months of filing.
Will I ever be able to get credit again?
Yes, many people receive credit offers within a year of bankruptcy. While interest rates may be high initially, responsible credit use can help improve your score.
Can filing for bankruptcy stop wage garnishment?
Yes, once bankruptcy is filed, an automatic stay is put in place, stopping wage garnishment, foreclosure, repossession, and most creditor collection efforts.
Do I have to go to court?
Bankruptcy requires at least one court appearance at the 341 meeting of creditors. However, this is typically a straightforward process.
What happens to my co-signer if I file for bankruptcy?
In Chapter 7, co-signers may still be responsible for the debt. In Chapter 13, co-signers may be protected if payments continue under the repayment plan.
How much does it cost to file for bankruptcy?
Filing fees and attorney costs vary. Chapter 7 generally has lower costs than Chapter 13, but legal fees for both depend on the complexity of the case.
Can bankruptcy stop repossession?
Yes, filing for bankruptcy can stop repossession temporarily. Chapter 13 can help restructure car payments to prevent repossession long-term.
How do I know if bankruptcy is right for me?
If you are overwhelmed by debt, facing foreclosure, or dealing with aggressive creditors, speaking with a bankruptcy attorney can help you evaluate your options.
Bankruptcy Attorneys Serving South Central Florida, Highlands & Big Cypress
- Tampa
- St. Petersburg
- Clearwater
- Brandon
- Largo
- Riverview
- Palm Harbor
- Spring Hill
- Wesley Chapel
- Bradenton
If you are facing financial challenges, Nowack & Olson, PLLC is here to help. Contact a South Central bankruptcy attorney today to discuss your options and take the first step toward financial freedom.
