If you are struggling with untenable debt, are plagued by calls with creditors, or are late on credit or mortgage payments, you may need to pursue certain steps to wipe the slate clean and achieve a fresh financial start. Depending on your situation, you may be eligible to initiate a Chapter 7 bankruptcy proceeding to discharge any unsecured debt you own.
A Madison Chapter 7 bankruptcy lawyer can take a careful look at your circumstances and advise you of all possible legal options. A knowledgeable bankruptcy attorney could help you make the right decision for your home or business while working tirelessly to help you get back on your feet and rid yourself of a wall of debt.
A Chapter 7 bankruptcy is a common legal vehicle through which debtors can liquidate and sell nonexempt assets to pay off obligations to existing creditors. Numerous parties, including individuals, couples, and businesses, may qualify for Chapter 7 bankruptcy.
It is a common misconception that if you file for a Chapter 7 bankruptcy, you will almost certainly lose key assets such as your home or vehicles. With a Chapter 7 bankruptcy, you can keep all exempt forms of property after the proceedings have concluded. In some cases, most, if not all, of your assets, including your home and vehicles, can be deemed exempt.
A Chapter 7 bankruptcy can be used to discharge various unsecured debts, such as credit card debt, medical bills, and unsecured personal loans. However, certain debts, including student loans and child support obligations, may not be discharged by a Chapter 7 bankruptcy proceeding.
Once initiated, a Chapter 7 bankruptcy proceeding can stop harassing collection activities and prevent actions such as repossession or foreclosure of assets, allowing you to keep your home, vehicles, and other personal belongings. These proceedings can also stop garnishments or utility shutoffs.
A Madison Chapter 7 bankruptcy attorney can evaluate the details of your finances and the extent of your debt to determine whether you qualify to start proceedings. If your income is below the state median, you should be eligible to start a Chapter 7 bankruptcy proceeding to discharge your unsecured debt obligations.
If your income exceeds the state median threshold, an attorney can explain whether you qualify under the means test to seek bankruptcy relief. You must also not have received a Chapter 7 discharge in the prior eight years to seek this type of relief.
An attorney can explain what type of bankruptcy will best serve your needs and prepare the petition on your behalf. The petition will document your debts, expenses, income, and assets, then ask the court to discharge the unsecured debts.
You will also have to comply with other requirements, such as taking a credit counseling course and attending a creditors’ meeting. In many cases, a Chapter 7 bankruptcy proceeding can take as little as four months from start to finish.
There are numerous benefits to filing for a Chapter 7 bankruptcy. Some people hesitate to take these steps because they fear losing certain key assets. However, proceedings for a Chapter 7 bankruptcy can provide a wide range of benefits and help you take advantage of exemptions to protect your property.
A Madison Chapter 7 bankruptcy lawyer can explain your debt relief options, develop tailored strategies to get your finances back on track and handle calls from creditors on your behalf. Contact our office today to speak with an attorney about your situation and discuss the next steps of your case.
Gillman Capone Law Group
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