Filing Chapter 7 bankruptcy is a powerful way to discharge debts outright and get a fresh financial start, but it is not for everybody. A Chapter 7 is conversationally referred to as a "clean slate" filing, meaning that it allows for immediate discharge. This may not be the ideal filing for people who own large amounts of property, however, as it may put them in jeopardy.
Additionally, in order to file for Chapter 7 bankruptcy, it is necessary to pass the means test. The means test is the way of determining whether a household income is less than the median income of a house the same size (within a given state). If it is, you are eligible to file for Chapter 7. If not, it will be necessary to pursue Chapter 13.
Chapter 7 allows you to eliminate unsecured debt, including credit card and medical bill debt. It will also stop creditor harassment, lawsuits and wage garnishment.
Additionally, certain property can be kept — exempt property. Cars and houses can be kept if one agrees to pay past due balances on loans.
Regardless of your unique circumstances, you owe it to yourself to get informed about your rights. Our lawyers at Pond Law Firm are prepared to bring nearly two decades of bankruptcy experience to help you determine if Chapter 7 filing is right for your situation. If so, we will work directly with you so that we can efficiently and effectively help you reach a best possible outcome.
To get in touch and schedule a free initial consultation to discuss debt relief options with one of our Jackson consumer bankruptcy attorneys, call 601-948-4878 or email the firm.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.