What is Bankruptcy?

Bankruptcy is intended to give people a fresh start – free of debt.  The bankruptcy laws provide an opportunity for a fresh start to those individuals whose financial difficulties have left them unable to pay their bills and have put them at risk of losing their house, cars, or other property. Why do people file bankruptcy in Pennsylvania?  In my experience as a bankruptcy lawyer, these are some common scenarios: You are trying to keep debts current but are borrowing money from one card to pay another (robbing Peter to pay Paul). You are trying to keep debts current by 

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FREQUENTLY ASKED QUESTIONS

1)  Should I file Bankruptcy? A person should file a bankruptcy if, and only if, he or she can’t pay bills as they come due or is about to lose property or have property attached by the Court.  Very few people lose any property when they file bankruptcy.  In Pennsylvania, you are allowed to keep $3,225 equity in a car, $10,775 in personal household goods, $20,200 in a home, and at least $1,000 in any property that you choose in a general exemption plus ½ of the unused portion of the home exemption.  For married couples, filing jointly, these exemptions 

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