Legal Question in Bankruptcy in Illinois

Bank Policy

If a person's company owes a bank lets say $2 million, and the company cannot pay it, will the bank take things from the owner of the company to help pay the loan? Will filing for bankruptcy prevent this if the answer is yes? Lastly, is it possible to negotiate with the bank a deal where the owner files for bankruptcy, gets a new job, and makes payments to the bank, meanwhile still keeping his/her house, cars, etc?


Asked on 6/13/03, 8:05 pm

1 Answer from Attorneys
Thaddeus Hunt Law Offices of Thaddeus Hunt

Re: Bank Policy

This really depends on whether you personally secured the loan from the bank. A personal bankruptcy may protect the owner if he personally secured the loan. What property of the owner can be "saved" really depends on what if anything was secured. The answer to your last question is yes it may be possible to negotiate a workout with the bank.

My firm handles numerous types of corporate and individual bankruptcy and related issues. Your situation seems to be quite complex and you should speak to an attorney. Our firm practices throughout Illinois. Please contact my office at 312-236-9906 to discuss your situation further.

Very truly yours,

Thaddeus J. Hunt, Esq.

Disclaimer: Notihing herein should be construed as legal advice or the creation of an attorney-client relationship.

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Answered on 6/14/03, 12:13 am


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