Chapter 7 Can Provide Immediate Relief
Chapter 7 bankruptcy is known as a liquidation proceeding. That means if you file Chapter 7 in Massachusetts, you will be appointed a bankruptcy trustee who will evaluate your assets and sell any that are nonexempt to pay your creditors.
“Liquidation” can sound intimidating to potential filers, evoking images of bare rooms emptied of furniture and trucks driving away with your possessions. However, most people who file for Chapter 7 bankruptcy are able to use exemptions to keep their personal belongings, assets and most importantly, their home. For this reason, and because people who successfully file for Chapter 7 bankruptcy can eliminate certain debt within months, this is often clients’ preferred mode of filing. Chapter 7 is also available in more situations, as it is applicable to:
- Married couples
If you have questions about whether you qualify for Chapter 7 bankruptcy, our accessible, insightful Chapter 7 bankruptcy attorneys can answer your questions and start familiarizing you with the process.
Deciding If Chapter 7 Works For You
People considering filing for Chapter 7 bankruptcy sometimes have concerns about the consequences of doing so. These are a few of the concerns:
- The bankruptcy can stay on your credit report for up to 10 years, but please keep in mind that most debt is discharged, which helps to repair your credit going forward.
- When budgeting in the future, be advised that you may still have to pay some debts if you choose to retain the asset (e.g., mortgage, car loan).
- Once you file a Chapter 7 bankruptcy, you cannot do so for another eight years. Again, keep this in mind for your future financial management needs.
- If you have too much disposable or earned income, a Chapter 7 may not be an option.
However, when a person is under tremendous debt strain, often the consequences of not filing can be worse than the consequences of filing. While Chapter 7 bankruptcy can impact your credit, it is possible to incur even more financial damage by continuing to struggle under the burden of heavy debt. At Reynolds & Werman, LLC, our debt discharge attorneys are committed to doing everything we can to put our clients on the path to financial solvency. Come in and see what we can do for you.
Call Us Today For A Free Consultation
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.