The New Hampshire Bar Association has published its revised public information pamphlet on bankruptcy law. The pamphlet is a great source of information for the public and explains the bankruptcy process and what is can and cannot do for you. However, the pamphlet provides general legal information and should not be substituted for competent legal advice on your specific situation.
The pamphlet explains that:
Bankruptcy is a legal proceeding in which a person who cannot pay his or her bills can get a fresh financial start. The right to file a bankruptcy proceeding is provided by
federal law (Title 11), and all bankruptcy cases are handled in federal court. Filing
bankruptcy immediately stops most of your creditors from seeking to collect debts from you, at least until your debts are sorted out according to the law. Bankruptcy will not stop criminal or government proceedings, nor most domestic relations matters.
It also addresses the common misperception that you will not be able to own anything after filing for bankruptcy:
You can keep your exempt property and anything you obtain after the bankruptcy is filed. However, if you receive an inheritance, a property settlement, or life insurance benefits within 180 days after filing for bankruptcy, that money or property may have to be paid to your creditors if the property or money is not exempt.