The process for Chapter 7 bankruptcy is what many people think of when they hear the word bankruptcy. Also known as liquidation bankruptcy, it is one of the most common forms of bankruptcy that individuals and families apply for. Do you qualify for Chapter 7? Is it the right choice for you? A knowledgeable attorney at Sisemore Law Firm, P.C., can help you find out.
Chapter 7 bankruptcy is a process that typically lasts between three and five months. During the process, nonexempt assets will be liquidated to pay off a portion of a debtor’s unsecured debts. At the end of the process, remaining unsecured debts will be discharged.
A means test is mandated as part of the bankruptcy process. If you and your spouse have significant income, you may not qualify for Chapter 7. In that case, you will likely qualify for Chapter 13, which is a repayment plan that takes longer than Chapter 7, but also provides an opportunity to rebuild your finances.
The Bankruptcy Code and Texas laws provide a number of exemptions. In almost all cases, people who wish to do so can keep their home and their vehicle. There are additional exemptions that may apply to you that we can discuss at your consultation.
The primary benefit of Chapter 7 bankruptcy, like other forms of personal bankruptcy, is that it will put an end to the misery you have been living in. No more creditor harassment, no more wage garnishment and a fresh start to rebuild your finances and restore your credit.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.