A Chapter 7 bankruptcy is also known as a liquidation bankruptcy. Debtors who file for relief under chapter 7 surrender nonexempt assets to be sold and the proceeds given to the creditors to repay or to partially repay debt. Certain property is exempt and these exemptions may vary from state to state. Once the nonexempt assets are sold, most types of debt will be discharged.
Chapter 7 bankruptcy is available to eligible individuals and businesses. A “means test” is provided to determine whether or not a debtor qualifies for chapter 7 bankruptcy. Generally speaking, an individual debtor will qualify if his or her income is lower than the median income in the state where he or she resides. If a debtor’s income exceeds his or her state’s median income, additional factors must be considered to determine qualification.
Filing for bankruptcy may stop creditors’ calls and suspend collection action such as foreclosure, repossession, or wage garnishment. It can also provide the relief you need to start fresh and begin rebuilding your financial future. Contact one of our chapter 7 bankruptcy attorneys in Scottsdale or Phoenix for a free consultation to discuss bankruptcy and other options to manage burdensome debt.
Bankruptcy will immediately stop most collection activity, including creditors' calls and wage garnishment.
Our bankruptcy attorneys can help you protect exempt property and assets from seizure or liquidation.
After your bankruptcy, eligible debt will be fully discharged. Regain control over your financial future.
You have bankruptcy questions, we have answers.
- tax debt;
- spousal maintenance;
- child support;
- certain civil judgments;
- student loan debt;
- debt incurred after filing;
- debt incurred in contemplation of bankruptcy;
- debt incurred through fraud or misrepresentation
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Contact our Chapter 7 bankruptcy attorneys by telephone, text message, or e-mail to arrange a complimentary consultation to discuss your options to manage burdensome debt.