Yes, you can keep your cellphone when you file bankruptcy. Given how dependent we’ve become on the tiny devices, I know what a relief that is. For some, it is their only source of communication.
However, you should know that you can also discharge (wipeout) any debt you owe for a cellphone. For example, if you’ve switched carriers to try and save money, you might owe the carrier you left money for terminating that contract early. Bankruptcy will wipe that out.
When we file your petition, we’ll indicate whether you have any “executory contracts”. These are contract under which performance is still due (you agree to pay your monthly fees, and your cell phone provider agrees to provide phone service). If you want to keep your current contract, we’ll indicate that you want to keep it. Otherwise, we can indicate that you want to terminate it. That way you’re free to find another carrier and plan. Another common executory contract is an apartment lease. Bankruptcy will let you terminate an apartment lease early or get rid of any rent a landlord from a previous rental is trying to collect.
If you have questions about what you can and cannot get rid of when you file bankruptcy, we hope you’ll come in for a free, no-obligation consultation with an experienced attorney. You can make an appointment using our online scheduling system or you can call 303.331.3403 to set up a time that is convenient for you.