Filing for bankruptcy relief under Chapter 7 provides an individual or family with a fresh start, unlike Chapter 13 which requires a plan of repayment for a period of 3 to 5 years. Chapter 7 provides you with immediate relief and will enable you, the debtor, in most cases to retain your secured assets (i.e. home, car, etc.) while liquidating your unsecured debt.
In Chapter 7 bankruptcy, many unsecured debts are absolutely discharged. This includes credit card debt, medical debt, personal loans, certain old taxes, etc.
Some kinds of debt, however, cannot be discharged in bankruptcy. These include student loans, debts for domestic support (alimony or child support), certain kinds of taxes, debts incurred by fraud or deception, debts for death or injury caused while driving or operating any kind of vehicle while intoxicated or under the influence, and certain other debts which your attorney can discuss with you.
Despite these limitations, however, if you are struggling to pay your daily living costs, facing judgments or garnishments, or otherwise struggling to deal with your debt, bankruptcy may be a good option to moving on with your life. Please fill out our evaluation form, email us or call to schedule a consultation to see if bankruptcy is a good option to restart your financial life.