When you find yourself stuck under overwhelming debt, it may be time to consider bankruptcy. Recent changes to the bankruptcy laws have made it more difficult to file Chapter 7 and receive a complete discharge of debt. Many consumers are now forced into Chapter 13 and five years of payments to their creditors. These new changes make it virtually impossible to go it alone. You need the services of an experienced bankruptcy attorney to navigate this complex system.

Your attorney can evaluate your financial picture and offer the best options for you. You will be required to attend credit counseling before filing and a financial skills course before your bankruptcy can be discharged. The court now decides if you can file Chapter 7 or Chapter 13. Your financial picture will be reviewed to determine if your income and expenses allow you to repay some debt over a five-year repayment program. If your budget allows, the court can force you to file Chapter 13 instead of Chapter 7. If it is shown that you are unable to pay approx. $100.00 a month over a five-year span you will be allowed to file Chapter 7. When your attorney files your bankruptcy claim at the Texas District Bankruptcy Court, your filing fee will be $274.00. You can petition the court to pay that in installments but it cannot be waived. Your case will then be assigned to a trustee. This person will decide if you have assets that can be liquidated to pay a portion of what you owe to creditors. There are many assets that are exempt from liquidation under Texas law. You can opt to follow the federal standards for exempt assets over the Texas statutes. These may include for example, cars, home, personal items, livestock, pensions, insurance policies, future wages, public benefits or equipment necessary to your livelihood. If you are facing a very simple cut and dry bankruptcy case it is possible to represent yourself. For the rest you need the advice and experience of an experienced Texas bankruptcy lawyer to guide you through the system and to ensure you are taking the best path for your situation. There are other types of bankruptcy for family farmers, businesses and people with very large debt. You cannot protect co-signers or discharge most school loans, alimony or child support. Bankruptcy is not something to be ashamed of and can be the fresh start you need to have a successful future.

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