Q: What happens if my bankruptcy is dismissed? 

The court mails all of your creditors a notice saying that the case is dismissed. The automatic stay is terminated, and your creditors are free to resume calling, coming to your home and or work, and they are free to pursue their recovery in the state courts.

Q: Will I lose my home? 

Probably not. Illinois:- You get to keep $15,000 dollars in equity in you home; $30,000 dollars if you are married and both own the property.

Q: Will I lose my car? 

Probably not. Illinois – You get to keep $2,400 dollars in equity in any one motor vehicle. $4,800 dollars if you are married and both own the property.

Q: Will I lose my personal property? 

Probably not. Illinois: You get to keep $4,000 dollars in personal property. $8,000 if you are married.

Q: Will bankruptcy affect my employment? 

NO. Employment discrimination is illegal. Federal law prohibits any discrimination based on bankruptcy on your credit status.

Q: Can I protect a cosigner? 

In a Chapter 7, No. In Chapter 13 Yes, you can but only by paying the entire loan.

Q: Should I file bankruptcy before I get married? 

Yes, your bad credit can affect your new spouse.

Q: If I am married, does my spouse have to file also? 

No, married people can file separately but your spouse’s income and expenses will be reviewed by the court to determine eligibility for bankruptcy.

Q: Will filing bankruptcy stop any lawsuit, or a warrant for my arrest? 

Yes, if it is debt related. Criminal proceedings, including fraudulent check writing, is not included.

Q: Will bankruptcy wipe out unpaid federal income taxes? 

Chapter 7 Yes, but they must be 4 years overdue and you must have filed a tax return in the year it was due. In Chapter 13 Yes, all taxes if you pay them in the plan.

Q: Will a bankruptcy affect my ability to get future student loans? 


Q: Do I have to be an American citizen to file bankruptcy?