Montgomery Bankruptcy Lawyer
Last updated on May 14, 2025
Alabama Debt Relief Attorneys Guide You To The ‘Fresh Start’ You Deserve
Proverbs 31: 8-9
Speak up for those who cannot speak for themselves, for the rights of all who are destitute.
Speak up and judge fairly; defend the rights of the poor and needy.
Due to personal misfortune, an employer’s financial problems or the continuing national recession, many hardworking people with good intentions are sometimes unable to pay their bills. Accumulating debt can lead to foreclosure threats on your home, repossession of your motor vehicle, garnishment of wages and harassment by creditors.
If you have been laid off or unable to work because of illness, you may be unable to make mortgage payments. If you have been suddenly injured or ill, or your family has put a child through drug rehabilitation, you are facing extraordinarily high medical bills. If your family business has run into trouble, business bill collectors may be calling you. An expensive divorce can also cause a significant financial burden.
The good news is this: federal bankruptcy laws may provide you with relief and allow you to get back on your feet. Once you have filed for Chapter 7 liquidation or Chapter 13 reorganization bankruptcy, creditors are stopped from bill collection harassment, from suing you, from foreclosing on your home mortgage, from garnishing your wages and from making unwelcome phone calls to your home or office.
At the Anderson, Williams, & Farrow, L.L.C., in Montgomery, our experienced Alabama bankruptcy lawyers are well versed in the execution and discharge of Chapter 7 and Chapter 13 filings, and up-to-date on recent changes in federal bankruptcy law.
If you are frightened by the prospect of home foreclosure, want to end the creditor harassment you are receiving and seek innovative, effective legal counsel on eliminating or reorganizing your debt, contact our Montgomery offices and ask to speak with a bankruptcy attorney.
The most common debts that can be discharged through bankruptcy are:
- Back rent
- Utility rent
- Some court judgments
- Credit card bills
- Department store and gasoline company bills
- Loans from family and friends
- Newspaper and magazine subscriptions
- Legal, medical and accounting bills
- Unsecured loans
Debts that cannot be eliminated through bankruptcy include:
- Taxes
- Alimony and spousal support
- Child support
- Student loans
- Secured debts
- Personal injury damages arising from driving while drunk
- Debts from fraud, larceny or embezzlement
- Punitive damage claims for assault and libel
Frequently Asked Questions About Bankruptcy In Alabama
Bankruptcy is a complicated process, so it is normal to have questions. You can ask our attorneys at Anderson, Williams, & Farrow, L.L.C., any questions you have – such as:
What is the difference between Chapter 7 and Chapter 13 bankruptcy?
Chapter 7 bankruptcy is for people with moderate incomes and the inability to afford their debts. After a Chapter 7 filing, debtors can see their dischargeable debts relieved after a few months. Chapter 7 bankruptcy is also referred to as a “liquidation bankruptcy” because some of the debtor’s assets may be liquidated to repay their creditors – although this is very rare. Most essential assets are exempt from liquidation.
Chapter 13 bankruptcy is for people who have some disposable income they can put toward their debts. After a Chapter 13 filing, the filer’s debt obligations are reorganized into a payment plan. The filer is expected to make consistent payments according to the repayment plan for three to five years. After the repayment period has passed, the filer’s remaining dischargeable debts are relieved. This option is especially beneficial for people who want to keep certain assets.
Can I keep my car and home if I file for bankruptcy in Alabama?
Yes. If you are filing for Chapter 7 bankruptcy, you can protect up to $16,450 in equity of your home (or twice that if you are a couple) and $4,000 in your car’s equity. If you are looking to keep your home or vehicle, you can explore your bankruptcy options.
How long does the bankruptcy process take?
Once you file Chapter 7 bankruptcy, it can take up to six months to resolve your debts. For a Chapter 13 bankruptcy, it can take anywhere from three to five years to settle your debts, depending on the terms of your repayment plan.
Can I file for bankruptcy more than once in Alabama?
Yes. There is no limit to the number of times you can file for bankruptcy – just limits on how often. If you have previously filed for bankruptcy, our attorney can help you understand when you are eligible to file again.
Call Our Montgomery Bankruptcy Attorneys, Toll Free
For more information on Chapter 7 and Chapter 13 bankruptcy law and which debts can be eliminated, contact us. Call 800-518-1847 from wherever you are in central Alabama. We respond promptly to your email and overnight messages.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.