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Frequently Asked Questions
About Bankruptcy (FAQ)

THE LEAST YOU NEED TO KNOW ABOUT FREQUENTLY ASKED QUESTIONS:

- If your question isn't answered here, just call us and ask.


Bill collectors call me all the time and my bank is about to foreclose on my house. Is there anything I can do to stop this from happening?

If you qualify for bankruptcy protection an “automatic stay" takes effect as soon as your attorney files your bankruptcy petition with the court.  The automatic stay is a court order preventing bill collectors from trying to collect, stopping foreclosures from taking place, and suspending most lawsuits against you.



Are there any exceptions to the automatic stay?

The bankruptcy automatic stay does not stop proceedings such as criminal prosecutions, paternity suits, or tax audits.  Also, the automatic stay may be limited in some situations for people who have previously filed bankruptcy.

How do I "qualify" to file bankruptcy?

There are no simple rules about who "qualifies" for bankruptcy.  Figuring out whether you qualify for bankruptcy can be a very complex task.  This is especially true because the bankruptcy rules in the Dallas - Fort Worth area can vary drastically from other parts of the country.  As your attorney, I will review your personal situation and give you an opinion.  However, the following are good indicators bankruptcy may be a good option for you:

1) You have a lot of credit-card debt or medical bills relative to your income.

2) You consistently come up short each month when paying bills.

3) The total value of your belongings are significantly less than the total amount you owe.

4) You are harassed by collection agency calls and letters.

5) You have a court judgment against you.

Many other factors also influence whether bankruptcy is right for you.  An experienced lawyer can will guide you and help you sort through your options.

Who is the best bankruptcy lawyer in the Dallas - Fort Worth Area?

There is no one answer to this question.  "Best" is a subjective term.  If you need to file a big corporate bankruptcy the "best" bankruptcy lawyer is going to be a different person than if you need to file personal bankruptcy.  One lawyer might be "best" in terms of having good technical legal skills, but might have poor people skills.  Other lawyers are good at empathizing with clients, but their legal skills leave something to be desired.  Look at a lawyer's experience, credentials, and personality.  Then go with your instincts and choose a lawyer you like and trust.

Do I need a lawyer to declare bankruptcy?

You may represent yourself, but hiring a competent bankruptcy attorney has many advantages.  If you represent yourself you must prepare your own petition, schedules, and statements.  These documents are commonly 30 to 80 pages long.  You may have to take time off from work and travel to the courthouse and file your case.  You will still have to pay the court filing fee.  You must learn the relevant sections of the Bankruptcy Code, the Federal Rules of Bankruptcy Procedure, the local Fort Worth bankruptcy rules, and all the state laws that may affect your bankruptcy case. You will be held to the same standard as an attorney as there are no separate set of rules for people representing themselves.

You may also be required to review reaffirmation agreements, send out notices to all parties entitled to notice in your case, make amendments to your pleadings, deal with creditors and their attorneys, deal directly with the trustee, respond to motions made by other attorneys and creditors, and represent yourself in front of the bankruptcy judge.

Bankruptcy is an extremely complicated area of law and even minor mistakes can have huge consequences.  Hiring an attorney to represent you in your bankruptcy will save you hours of work and worry.  It could also save you tens-of-thousands of dollars in costly mistakes you might make representing yourself.

Can I pay my bankruptcy attorney's fees with a credit card?

Unfortunately, you cannot pay your bankruptcy attorney's fees with a credit card.  Since your credit-card debt will be forgiven through your bankruptcy, using a credit card to pay your attorney could be considered fraud.

What are the alternatives to bankruptcy?

Depending on your financial situation, negotiating with your creditors may be a better option than bankruptcy.  Whether this is appropriate for you depends on the number of debts you have, the total amount of the debt, and whether there is any question that you actually owe the debt. Negotiation sometimes works, but is often much more expensive than bankruptcy.

How will bankruptcy affect my children?

Generally, bankruptcy greatly benefits children.  It can allow you to start saving money for college instead of paying high-interest credit cards.  Bankruptcy can also remove the stress of bills from your family life and give you more time with your kids.

I am self-employed.  How does that affect my bankruptcy?

The answer depends on whether your business is a sole proprietorship, a partnership, a corporation, a limited liability company, or other legal entity.  Being self-employed does not disqualify you from bankruptcy, but it can add to the complexity of your case. 

What debts are not eliminated by bankruptcy?

Child support, most student loans, criminal fines, and recent taxes are common examples of debts  not eliminated by bankruptcy.

Will I have to go to court?

In most Dallas - Fort Worth area bankruptcies, people represented by a lawyer never step foot inside a courtroom.  If you represent yourself it is much more likely you'll have to go to court.

What is a creditor meeting?

A creditor meeting is an opportunity for your creditors, or their lawyers, to ask you questions and gather information concerning your bankruptcy and debts.  Despite being called a "creditor" meeting, usually no creditors attend these meetings and the meetings last only a few minutes.

What do I need to bring to my creditor meeting?

You must bring your driver's license (or other government-issued picture identification) and your Social-Security card.  You will not be allowed to attend the meeting without these documents. Your lawyer may also ask you to bring additional documents in certain cases. 

What happens if a creditor shows up at my creditor meeting?

There is nothing to be afraid of if a creditor or their lawyer attends your meeting.  All they can do is ask you questions.  Your attorney will not allow them to be abusive or in any way harass you at the meeting.  Simply answer their questions honestly and the meeting will go smoothly.

What should I wear to my creditor meeting and my initial office appointment?

Wearing your normal street clothes is acceptable.  There is no need to wear a suit or other business attire.  Most clients wear jeans or khakis and a t-shirt or polo shirt.

What is a trustee?

A trustee is a person "in charge" of administering your bankruptcy case.  They are not the bankruptcy judge and do not make final decisions about your case.  The trustee is usually a local bankruptcy lawyer.  Some of the trustee's duties include running your creditor meetings and reviewing your petition and schedules.

Will I lose my house if I file bankruptcy?

It is almost unheard of for someone filing bankruptcy in Texas to lose their house because they filed bankruptcy.

Will I lose my car?

It is almost unheard of for someone filing bankruptcy in Texas to lose their car because they filed bankruptcy.

Will I lose my personal belongings?

Most people living in the Dallas - Fort Worth area that file bankruptcy get to keep all of their personal belongings. Common exceptions to this are very expensive jewelry or collectibles.

Can I exclude from my bankruptcy the debts I intend to pay back?

No.  The Bankruptcy Code requires you to list all your debts, but you may voluntarily pay back any debt you wish.  A successful bankruptcy eliminates your obligation to repay a debt, but it does not prevent you from repaying anyone if you choose to do so.

Will my student loans go away after bankruptcy?

Probably not.  For student loans to be eliminated through bankruptcy you must meet the strict requirement that repaying the loans would constitute an "undue hardship" for you.  Most people cannot meet this requirement.

I'm married.  Does my spouse have to file with me?

No.  Married debtors in the Dallas - Fort Worth area are allowed to file bankruptcy alone.

I'm divorced.  How does bankruptcy affect my obligations to my ex-spouse under our divorce decree?

There is no one answer to this question.  Divorce and bankruptcy issues can be very complex so you should consult your attorney about how your bankruptcy may be affected by your divorce.

Since my credit card debt is going to be wiped out anyway, can I max out my credit cards before I file?

No!!  This would be considered bankruptcy fraud and could prevent you from receiving your bankruptcy discharge or land you in jail.

Will bankruptcy ruin my credit?


Chances are that if you're considering bankruptcy your credit is already in pretty bad shape. Bankruptcy may actually help your credit situation.  Let's take a look at how a potential creditor might see you before and after a bankruptcy.

Before a bankruptcy: If you currently owe $50,000 in credit card debt, have a modest income, and are behind on your payments, many potential creditors will see you as a poor credit risk.  If they lend you money, you probably won't be able to pay them on time (or at all) because you have so much other debt.

After a bankruptcy: You currently owe $0 in credit card debt, have a modest income, and are not behind on your payments since you have no debt.  If a potential creditor lends you money they know that you don’t have other debts and have the ability to repay their loan.

I've heard bankruptcy ruins your credit for 10 years.  Is that true?

The fact you filed bankruptcy can remain on your credit REPORT for 10 years.  That does not mean it will affect your credit SCORE for 10 years.  If you are responsible with your finances after your bankruptcy you can rebuild your credit in as little as two years.

How long does it take to file my bankruptcy?

It can take anywhere from a few days to several months depending on the needs of your particular case.  But most cases can be filed within a few weeks of your first appointment.

Once my case is filed how long does the bankruptcy process last?

A Chapter 7 bankruptcy in the Dallas - Fort Worth area takes about 90 days from the time we file.  A Chapter 13 bankruptcy normally takes 3 to 5 years.

I'm having financial troubles, but I'm several months away from "having" to file bankruptcy.  Why can't I just wait until things get worse before speaking to an attorney?

Doctors have a much easier time helping patients when they begin treatment in the early stages of the disease.  The same is true for bankruptcy lawyers.  The earlier you ask for help, the more likely it is you will have a good outcome.

Can I be fired because I am declaring bankruptcy?

Federal law prohibits an employer from firing you solely because of a bankruptcy.

What geographic areas do you serve?

We serve the entire Dallas - Fort Worth Metroplex, including: 

Addison, Aledo, Annetta, Argyle, Arlington, Azle, Bartonville, Bedford, Benbrook, Blue Mound, Briar Oaks, Burleson, Carrollton, Cedar Hill, Colleyville, Coppell, Copper Canyon, Corinth, Corral City, Cross Roads, Crowley, Dallas, Dallas County, Dalworthington Gardens, Desoto, Double Oak, Duncanville, Edgecliff Village, Euless, Everman, Farmers Branch, Flower Mound, Forest Hill, Fort Worth, Garland, Grand Prairie, Grapevine, Haltom City, Haslet, Hickory Creek, Highland Park, Highland Village, Hudson Oaks, Hurst, Irving, Keller, Kennedale, Krum, Lake Dallas, Lake Worth, Lakeside, Lakewood Village, Las Colinas, Lewisville, Lincoln Park, Mansfield, Marshall Creek, Mesquite, Newark, North Richland Hills, Northlake, Oak Point, Pantego, Pelican Bay, Plano, Reno, Richland Hills, River Oaks, Roanoke, Saginaw, Sanctuary, Sansom Park, Shady Shores, Southlake, Tarrant County, Trophy Club, University Park, Watauga, Weatherford, Westlake, Westover Hills, Westworth Village, White Settlement, and Willow Park.

What types of bankruptcy clients has the Law Offices of John Saitis represented in the past?

We have represented a wide variety of clients from all walks of life. Some of our clients have included grade-school teachers, senior citizens, recent college graduates, hearing impaired clients, loan brokers, brain surgeons, military families, single moms, day care operators, chiropractors, CEOs, telephone companies, mortgage loan companies, truckers, private investigators, car dealerships, preachers, jewelry store owners, handymen, and insurance agents to name just a few. We've even handled bankruptcies for other attorneys who do not specialize in bankruptcy law but needed to declare bankruptcy.

Will my friends, family, or employer find out about my bankruptcy?

Your bankruptcy filing will be a matter of public record.  This does not mean everyone will know about your case.  It is rare for anyone other than you, your creditors, court employees, and those people you choose to tell to find out about your bankruptcy.

Why should I choose the Law Offices of John Saitis to help me with my bankruptcy?

Our "Why Hire Us?" page has all the details to answer this important question.

I think bankruptcy may be right for me.  What do I do next?

Call us at (817) 881-4529.  We will ask you a series of questions designed to determine if bankruptcy might be a good option for you.  We will then set up an appointment with an attorney so that you can get the bankruptcy process started.  It's hard to make the first move, but you'll feel better once you do.