Chapter 7 Bankruptcy

A Chapter 7 bankruptcy allows people to eliminate debt with little or no repayment to creditors. Chapter 7 bankruptcy provides a fresh start through the liquidation of non-exempt property.  Debt from credit cards, medical bills, payday loans, personal loans, delinquent utility bills, deficiencies from repossessed vehicles, and old tax debt are commonly discharged by bankruptcy.

You get to keep most of your property in a bankruptcy when it is exempt.  It varies by state, but Ohio has generous exemptions in:

• Household goods
• Furnishings
• Clothing
• Firearms
• Retirement
• One Vehicle
• Your Home

The risk of filing a Chapter 7 bankruptcy is losing property not exempt. It is important to seek legal advice about what property you can exempt. As part of a free consultation, we examine what property you own, what you can exempt, and advise whether your property might be lost. We also help you plan to maximize exemptions and avoid losing property.

Some debts, like child support and most student loans, are not eliminated by a bankruptcy. As part of our consultation, we examine the type of debt you have and advise about handling any debt not discharged by a bankruptcy.

Chapter 7 is not the solution for everyone. Not everyone qualifies and there are alternatives to Chapter 7 bankruptcy. Chapter 13 or Chapter 11 bankruptcy may allow you too keep non-exempt property and cure defaults for leases, car loans, real estate taxes, and mortgages. Chapter 13 or Chapter 11 bankruptcy can help small businesses or individuals avoid liquidation and remain in business. Chapter 13 can also save a home from foreclosure or a car from repossession where Chapter 7 cannot help.

We examine your qualifications, risks, and benefits of filing a Chapter 7 bankruptcy and advise you of any alternatives with your free consultation.