Chapter 7 bankruptcy lawyer: how it works
Chapter 7 bankruptcy wipes out most unsecured debt, including credit cards, medical bills and personal loans, typically within about four months. Exemptions protect most or all of what people own. Some debts, like recent taxes, child support and most student loans, are not erased.
Chapter 7 is the fastest legal path out of credit card, medical, and personal loan debt. Most cases are filed, discharged, and closed in about four months, and the automatic stay stops collection calls, lawsuits, and wage garnishment the day the case is filed.
Free case review Call 24/7 (928) 985-8888Who qualifies for Chapter 7 bankruptcy?
Eligibility turns on the means test. If your household income is below your state median for your household size, you generally qualify. If it is above, the test subtracts allowed living expenses and secured debt payments to see whether there is enough left over to fund a Chapter 13 plan. Many above-median filers still qualify once the numbers are run correctly.
What do I get to keep in Chapter 7?
State and federal exemptions protect property such as home equity, retirement accounts, a vehicle, household goods, and tools of the trade. In practice most Chapter 7 filers keep everything they own. We review your assets before filing so there are no surprises.
How long does a Chapter 7 case take?
- Credit counseling course and document collection (pay stubs, tax returns, bank statements).
- Petition and schedules filed; the automatic stay begins immediately.
- Meeting of creditors (341 meeting), usually held by video about 30 days after filing.
- Debtor education course.
- Discharge order, typically about 60 days after the 341 meeting.
What debts does Chapter 7 not wipe out?
Most recent taxes, child support, alimony, most student loans, and debts from fraud or DUI injuries generally survive. Secured debts like a car loan can be reaffirmed or the collateral surrendered.
What else do people ask the Dune Lawyer?
How long does Chapter 7 take?
Most cases receive a discharge about three to four months after filing.
Will I lose my house or car?
Usually not. Exemptions protect home equity and a vehicle up to set limits, and you can keep financed property by staying current.
Can I file Chapter 7 again later?
You must wait eight years between Chapter 7 discharges.
Which related guides should I read next?
How do I talk to the Dune Lawyer today?
Free review. Injury cases: no fee until we win. Bankruptcy: flat, transparent fees.