Wage or bank garnishment
Texas protects wages more than most states. For ordinary debts like credit cards and medical bills, a creditor generally can't take money from your paycheck. The exceptions are child support, alimony, federal student loans and taxes. What can happen is that a creditor who wins a lawsuit asks the court to freeze your bank account.
What it means
If money is coming out of your pay, it is most likely for one of the exceptions above. If your bank account was frozen, a court judgment is usually behind it.
What can stop it
Filing for bankruptcy starts the automatic stay, which stops most collection, including most garnishments. Child support and alimony keep being collected.
What to do this week
- Keep the court papers and the letter from your bank.
- Write down the amounts taken and the dates.
- Call us before you agree to any payment plan with the creditor.
A foreclosure notice on your home
Most Texas foreclosures happen without a court case. The lender sends a notice of default, then a notice of sale at least 21 days before the sale date. Sales take place on the first Tuesday of the month. That timeline can move fast, so the date on your notice matters.
What it means
You still own your home until the sale. There is usually time to act, but less than people expect.
What can stop it
Filing before the sale stops it. Chapter 13 lets you catch up on missed mortgage payments over three to five years. Chapter 7 may only delay it.
What to do this week
- Find the sale date on the notice.
- Gather your mortgage statements and recent pay stubs.
- Call us. The closer the sale, the fewer the options.
Creditor calls and falling behind
Collection agencies have to follow federal rules about when and how they contact you. They can't call before 8 a.m. or after 9 p.m. without your OK, and if you ask in writing, most have to stop calling. That doesn't stop them from suing.
What it means
Calls are often the stage before a lawsuit. If you have been served with court papers, there is a deadline to respond.
What can stop it
Once a bankruptcy is filed, the automatic stay stops calls, letters and lawsuits from the creditors in your case. A good plan can also mean you don't need to file at all.
What to do this week
- List who is calling and roughly what you owe each one.
- Don't ignore court papers. Note the date you received them.
- Call us for an honest view of whether bankruptcy makes sense.
Chapter 7 and Chapter 13, explained simply
Most people who file choose one of these two chapters. Which one fits depends on your income, your property and what you're trying to protect.
| Question | Chapter 7A fresh start | Chapter 13A repayment plan |
|---|---|---|
| What it does | Wipes out most unsecured debt, like credit cards and medical bills. | You repay some or all of what you owe through a court-approved plan. |
| How long it takes | Usually about four months from filing to discharge. | Three to five years of plan payments. |
| Who can file | People whose income passes the means test. | People with regular income to fund the plan. |
| Your home and car | Texas exemptions protect a lot, often including your home. Property that isn't exempt can be sold. | You keep your property and pay through the plan. |
| Behind on the mortgage | Doesn't let you catch up. It may only delay a foreclosure. | Lets you catch up on missed payments over the plan. |
| On your credit report | Up to 10 years. | Usually 7 years. |
General information, not legal advice. Before filing either chapter you take a short credit counseling course from an approved provider.
From the first call to a fresh start
You call or send the form
Tell us briefly what's happening: garnishment, a sale date, a lawsuit or just too much debt.
A consultation with Mara
We go through your income, debts and property, and talk about whether bankruptcy makes sense. Sometimes it doesn't, and we'll say so.
The fee and the plan, in writing
You get the attorney's fee and the court filing fee in writing, plus a list of the documents we need.
We file, and the stay starts
Collection stops for the creditors in your case. Mara goes with you to the meeting with the trustee.
Through to discharge
We stay with you until the case closes, and answer the phone when you have questions.
What we handle
Bankruptcy
- Chapter 7
- Chapter 13
- Stopping garnishment, foreclosure and repossession
Civil litigation
- Debt collection lawsuits
- Contract disputes
- Negotiated settlements
You'll speak with the attorney handling your case
Sorensen Debt Relief Law is a small Dallas firm led by attorney Mara Sorensen, from an office on Halloway Plaza. Mara meets every client herself, explains the options in plain English, and stays on the case from the first call to the discharge.
People come to us embarrassed and worried. We don't judge, and we don't push anyone to file. If there's a better way through, we'll tell you.
- Attorney
- Mara Sorensen
- Licensed
- State Bar of Texas
- Office
- Dallas, TX 75231
Questions people ask us first
Will I lose my house or my car?
Many people keep both. Texas exemptions are among the most generous in the country and protect many homes and vehicles. What you can keep depends on your equity and whether you're behind on payments, so we go through it item by item at the consultation.
How much does it cost to file?
There is a court filing fee plus the attorney's fee. We give you both in writing at the first meeting, before you commit. In Chapter 13, part of the attorney's fee can often be paid through the plan.
Will my employer find out?
Usually not in Chapter 7. In Chapter 13, plan payments are sometimes taken straight from your paycheck, and then your employer would know. We'll tell you which applies before you file.
Do I have to go to court?
Most people never stand before a judge. You attend a short meeting with the bankruptcy trustee, called the meeting of creditors, and Mara attends with you.
Can I leave some debts or creditors out?
No. You have to list everyone you owe, including family. You can still choose to repay someone voluntarily after your case.
What should I bring to the first meeting?
Recent pay stubs, your last two tax returns, a list of what you owe, and any court papers, garnishment orders or foreclosure notices. If you don't have everything, come anyway.