Chapter 7 Bankruptcy

A Chapter 7 bankruptcy is ideally an open and shut case, lasting about 90 days, in which you get a fresh start by getting rid of debts, and keeping your exempt assets. You may want to learn more about Chapter 7 bankruptcy if you have bills that you cannot afford to pay, or if you have been making payments but the balances are not going down. One of the many things to consider in determining whether Chapter 7 bankruptcy is right for you is the Chapter 7 Means Test.

Chapter 7 bankruptcy is ideal to get relief from debts, such as

  • credit card debt
  • medical bills
  • bank loans and credit union loans
  • payday loans
  • bad car loans

Other debts commonly discharged in Chapter 7 include

  • IRS taxes for older years
  • overdrafts from bank accounts
  • overpayments of Social Security or unemployment benefits
  • debts remaining from apartment leases, repossessions and foreclosures

Some debts are never, or rarely, forgiven in bankruptcy. If you owe, for example, child support, alimony, student loans, or payroll taxes, then we can explore alternatives to bankruptcy, such as negotiating with the agency directly.

When to Contact a Bankruptcy Attorney

You should consult with a good bankruptcy attorney before you take money from your retirement account, or borrow against your home, to pay these debts. The legislature considers your home and retirement accounts sacred. You should too.

Please feel free to contact me to arrange for a free consultation. We will discuss your complete financial picture to determine whether bankruptcy is an appropriate solution to help you get out of debt.

Based in north Houston, I work with clients throughout the Houston area.