What Are My Rights as a Debtor in Bankruptcy?


As a debtor in bankruptcy, you have certain rights granted by bankruptcy laws to ensure fair treatment throughout the bankruptcy process. Understanding and exercising these rights is crucial.

Bankruptcy laws provide a framework that aims to balance the interests of debtors and creditors, offering protections and opportunities for debtors to address their financial challenges with dignity. Keep reading to learn more about the rights you have as a debtor in bankruptcy.

The Right to File for Bankruptcy

Debtors have the right to seek bankruptcy protection under the appropriate chapter of the bankruptcy code. As long as you meet the eligibility criteria for the type of bankruptcy you’re interested in using, you can file for it and seek a discharge of your debt.

The Right to Exemptions

Debtors are entitled to claim certain exemptions, protecting essential assets such as homes, vehicles, and personal belongings from being seized by creditors to repay debts.

The Right to Attend Hearings

Debtors have the right to attend bankruptcy hearings, including the meeting of creditors (341 meeting) and any court hearings related to their case.

The Right to Protection from Creditor Harassment

When you file for bankruptcy, the judge will issue an automatic stay. This legal mechanism puts your debt and all legal action against you from your creditors on hold. It also stops your creditors from reaching out to you or otherwise harassing you about your debt.

The Right to Privacy

While bankruptcy filings are public records, debtors have the right to privacy concerning sensitive financial information, such as Social Security numbers and financial account numbers.

The Right to Challenge Creditor Claims

Debtors have the right to challenge the validity of creditor claims filed in their bankruptcy case, ensuring accuracy and fairness in the claims process.

The Right to Financial Education

Debtors may be required to complete credit counseling and financial management courses, providing them with valuable education on managing finances and avoiding future financial difficulties.

The Right to Seek Legal Counsel

Above all, you have the right to seek legal counsel for help when you need to file for bankruptcy. This process can be confusing and intimidating to handle on your own, which is why you shouldn’t. An experienced legal professional can provide the advice and services you need to understand your options in bankruptcy and make the decisions that work for you.

We at Buchalter & Pelphrey can provide the legal support you need during this time. Contact us online now to learn more.