Nobody wants to deal with mounting debt when they are having problems paying off what they owe. Some people begin feeling like they are drowning in debt, with no way out. Thankfully, there are legal options that can allow individuals to overcome the debts they owe and start fresh with their financial outlook. With this information, individuals will learn more about how to File a chapter 7 bankruptcy so they can overcome their debts.
What Is Chapter 7?
Chapter 7 is a type of bankruptcy that allows individuals to legally overcome the debts they owe. To get started, the individual will need to file their paperwork and go through mean’s testing. Although it is not required, most people feel more confident when they hire a lawyer to help them through the process.
Mean’s testing involves checking the individual’s wages, tax records, and other pertinent sources of information to ensure they meet the regulations for applying for Chapter 7. An individual’s monthly income must not be higher than the state’s median income or they will not be allowed to file for Chapter 7. Those who do not qualify for Chapter 7 can often be approved for Chapter 13, which is the wage earner’s bankruptcy.
With a Chapter 7 approval, a trustee is placed over the bankruptcy case. This person is in charge of accounting for all of the non-exempt assets of the individual so these items can be liquidated and the debts can be paid. The trustee also has the power to absolve certain debts, if there is no non-exempt property available for liquidation.
Get Started Today
Those who are interested in filing for bankruptcy need to schedule a consultation appointment with the lawyer so they can learn more about their rights and the process of seeking bankruptcy. With bankruptcy, an individual can discover a greater peace of mind, by becoming free of the debts they owe. If you would like the help of a lawyer, call the office right away. They will be happy to help you learn more about your bankruptcy options and what you can do to legally overcome your debt.