1. What is a Chapter 7 Bankruptcy?
A Chapter 7 Bankruptcy is a process by which most debts are discharged, rather than restructured. Once your discharge is granted, you no longer have to pay on these debts and you can simply walk away. People wanting "fresh start" prefer this type of filing if they qualify.
Generally speaking, a Chapter 7 filing is the least expensive and least burdensome form of bankruptcy. Costs and Fees for each case will still vary depending upon the complexity of your case and the number of creditors.
2. What debts cannot be discharged in a Chapter 7 Bankruptcy?
Certain types of debts cannot be discharged under Chapter 7 proceedings. These include: spousal support obligations, child support obligations, taxes less than three years old, student loans, any debts procurred by fraud or any debt incurred without a reasonably certain ability to repay the debt.
3. What is the downside to filing Chapter 7 Bankruptcy?
The court imposes restrictions on how frequently you can file bankruptcy. The court will allow you receive a discharge 8 years after the commencement of the last case in which you received a discharge. Although Chapter 13 cases are usually sooner, about 4 years.
4. How do I "qualify" for a Chapter 7 Bankruptcy?
In order to qualify for a Chapter 7 Bankruptcy, an individual must pass a means test.
Although the means test is somewhat complicated, the general idea is that if the result of this test shows that the debtor has the ability to pay that amount over a five year period, a presumption arises that the filing is an abuse and subject to a dismissal by the court or a conversion to a different type of case.
5. Can I keep my property in a Chapter 7 filing?
Yes, it is quite likely you will be able to keep some of your assets. Bankruptcy laws allow debtors to necessarily keep a certain amount of property. And in fact, liquidation in Chapter 7 cases is quite rare. This is because if there are any assets to pay creditors, people have already sold these assets to pay debts.
California has two sets of laws the debtor can chose from which determine which property will be "exempt" from liquidation. These exemptions can be found in California Code of Civil Procedure §703 and§704.
For a more extensive discussion on exemptions, check this exemptions link.
6. What is the general process involved in a Chapter 7 Bankruptcy?
A Chapter 7 Bankruptcy is a process by which most debts are discharged, rather than restructured. Once your discharge is granted, you no longer have to pay on these debts and you can simply walk away. People wanting "fresh start" prefer this type of filing if they qualify.
Generally speaking, a Chapter 7 filing is the least expensive and least burdensome form of bankruptcy. Costs and Fees for each case will still vary depending upon the complexity of your case and the number of creditors.
2. What debts cannot be discharged in a Chapter 7 Bankruptcy?
Certain types of debts cannot be discharged under Chapter 7 proceedings. These include: spousal support obligations, child support obligations, taxes less than three years old, student loans, any debts procurred by fraud or any debt incurred without a reasonably certain ability to repay the debt.
3. What is the downside to filing Chapter 7 Bankruptcy?
The court imposes restrictions on how frequently you can file bankruptcy. The court will allow you receive a discharge 8 years after the commencement of the last case in which you received a discharge. Although Chapter 13 cases are usually sooner, about 4 years.
4. How do I "qualify" for a Chapter 7 Bankruptcy?
In order to qualify for a Chapter 7 Bankruptcy, an individual must pass a means test.
Although the means test is somewhat complicated, the general idea is that if the result of this test shows that the debtor has the ability to pay that amount over a five year period, a presumption arises that the filing is an abuse and subject to a dismissal by the court or a conversion to a different type of case.
5. Can I keep my property in a Chapter 7 filing?
Yes, it is quite likely you will be able to keep some of your assets. Bankruptcy laws allow debtors to necessarily keep a certain amount of property. And in fact, liquidation in Chapter 7 cases is quite rare. This is because if there are any assets to pay creditors, people have already sold these assets to pay debts.
California has two sets of laws the debtor can chose from which determine which property will be "exempt" from liquidation. These exemptions can be found in California Code of Civil Procedure §703 and§704.
For a more extensive discussion on exemptions, check this exemptions link.
6. What is the general process involved in a Chapter 7 Bankruptcy?
1. What is a Chapter 7 Bankruptcy?
2. What debts cannot be discharged in a Chapter 7 Bankruptcy?
3. What is the downside to filing Chapter 7 Bankruptcy?
4. How do I "qualify" for a Chapter 7 Bankruptcy?
5. Can I keep my property in a Chapter 7 filing?
6. What is the general process involved in a Chapter 7 Bankruptcy?
2. What debts cannot be discharged in a Chapter 7 Bankruptcy?
3. What is the downside to filing Chapter 7 Bankruptcy?
4. How do I "qualify" for a Chapter 7 Bankruptcy?
5. Can I keep my property in a Chapter 7 filing?
6. What is the general process involved in a Chapter 7 Bankruptcy?