Get a Fresh Start with Chapter 7 Bankruptcy

Posted by changandcarlin on May 21st, 2013

Saddled with debt? Cash flow worries keep you awake at night? Can’t answer your phone because it’s always creditors? Filing for Chapter 7 Bankruptcy in Chicago can help you attain peace of mind, allowing you to start over with a clean slate.

In Chapter 7 Bankruptcy, the Trustee sells all of your non-exempt assets and distributes the proceeds to your creditors. In return for this liquidation of your assets, you obtain a Discharge and are relieved from having to repay your debts.

How do you begin?

It’s critical to have your bankruptcy-related questions answered by a competent attorney before you begin any Chapter 7 Bankruptcy proceeding, so that you’re informed about how it works, and what your other options may be. Bankruptcy lawyers in Chicago can sit down with you and explain which of your monthly obligations would be covered by this type of bankruptcy filing.

Your Chapter 7 bankruptcy case starts when you file a bankruptcy petition with your local bankruptcy court.

Who is Eligible?

A Chapter 7 bankruptcy may be filed by any person or entity that resides in or has a place of business or property in the United States, other than a railroad and certain financial institutions and insurance companies. Beyond this, Chapter 7 is generally designed for those who have high levels of debt but no steady source of income. If you’re behind on your bills but still have a job, you may be directed toward Chapter 13 Bankruptcy.

Is there a debt limit?

There are no debt limits in Chapter7.

What is exempted?

Filing Chapter 7 Bankruptcy normally allows you to keep a certain amount of your personal property, and the trustee cannot sell these items to pay off your creditors. How much you can keep and what you can keep depends on the value of the asset and the specific exemptions in your state or the federal bankruptcy code. A Chapter 7 lawyer in Chicago can help you determine if your assets are protected by these exemptions.

Means Test

A "means test" determines whether an individual's income is low enough to be eligible for Chapter 7 after applicable expenses. The process is relatively quick -- it may take only a few months -- and creditors cannot contact you during an "automatic stay” How Much Does Chapter 7 Bankruptcy Cost?

Bankruptcy filing fees are due to the clerk of court when you file your bankruptcy petition. You may get permission to make a maximum of 4 periodic payments with the final payment due no more than 120 days after you file. You may be able to have the bankruptcy fee dismissed if you make less than 150% of the poverty level. Chang and Carlin, LLP work to provide the best possible Chapter 7 services in Chicago, at reasonable fees.

Contact Chang and Carlin, LLP for a Free Bankruptcy Consultation Today!

Chang and Carlin L.L.P offers expertise to clients who find themselves in financial trouble and need guidance to regain financial stability. If you are filing for Chapter 7 or Chapter 13 Bankruptcy in Illinois, get in touch with us today for a Free Bankruptcy Consultation.

Disclaimer: The content provided by Chang and Carlin, LLP is not legal advice and is purely for informational purposes. The information contained herein is not a substitute for the advice of an attorney and does not create an attorney-client relationship. If you are interested in obtaining information about Chapter 7 Bankruptcy, Chapter 13 Bankruptcy, Foreclosure services, or Real Estate legal services, call our law firm at 1-866-790-8601 for a Free Legal Evaluation. Chang and Carlin, LLP serves clients in Chicago, Schaumburg. Joliet, and Warrenville.