{"id":5738,"date":"2020-12-10T06:18:57","date_gmt":"2020-12-10T06:18:57","guid":{"rendered":"https:\/\/mcintirelaw.com\/?p=5738"},"modified":"2023-08-09T10:26:17","modified_gmt":"2023-08-09T10:26:17","slug":"a-look-into-bankruptcy-chapters-what-is-chapter-7","status":"publish","type":"post","link":"https:\/\/mcintirelaw.com\/a-look-into-bankruptcy-chapters-what-is-chapter-7\/","title":{"rendered":"A Look into Bankruptcy Chapters: What is Chapter 7?"},"content":{"rendered":"<div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-1 fusion-flex-container nonhundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"--awb-border-radius-top-left:0px;--awb-border-radius-top-right:0px;--awb-border-radius-bottom-right:0px;--awb-border-radius-bottom-left:0px;--awb-flex-wrap:wrap;\" ><div class=\"fusion-builder-row fusion-row fusion-flex-align-items-flex-start fusion-flex-content-wrap\" style=\"max-width:1996.8px;margin-left: calc(-4% \/ 2 );margin-right: calc(-4% \/ 2 );\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-0 fusion_builder_column_1_1 1_1 fusion-flex-column\" style=\"--awb-bg-size:cover;--awb-width-large:100%;--awb-margin-top-large:0px;--awb-spacing-right-large:1.92%;--awb-margin-bottom-large:20px;--awb-spacing-left-large:1.92%;--awb-width-medium:100%;--awb-order-medium:0;--awb-spacing-right-medium:1.92%;--awb-spacing-left-medium:1.92%;--awb-width-small:100%;--awb-order-small:0;--awb-spacing-right-small:1.92%;--awb-spacing-left-small:1.92%;\"><div class=\"fusion-column-wrapper fusion-column-has-shadow fusion-flex-justify-content-flex-start fusion-content-layout-column\"><div class=\"fusion-text fusion-text-1\"><p><span style=\"font-weight: 400;\">Consumer bankruptcy helps an individual resolve debt under federal court protection. There are several bankruptcy types suited for different circumstances. A Chapter 7 bankruptcy type will likely have unsecured debts (such as personal loans, medical bills, <a class=\"linkilo_keyword_link hyperlinks\" title=\"credit card debt\" href=\"\/west-virginia-credit-card-debt\/\" rel=\"dofollow\" data-linkilo-keyword-link=\"linked\">credit card debt<\/a>, and others with no collateral involved) forgiven or discharged. The automatic stay will also give you bankruptcy protection. This can stop wage garnishment and prevent you from getting sued.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">While recent taxes, student loans, alimony, and child support are generally not dischargeable under bankruptcy laws, Chapter 7 could still help. Filing for bankruptcy erases most of your other debts, so you might be able to raise money for the ones that you must still repay. Additionally, even if filing for bankruptcy will affect your credit reports (and ability to get credit) for 10 years, it is not as bad as it sounds. With discipline and good spending habits, credit scores may steadily improve just months after you declare bankruptcy.<\/span><\/p>\n<p><strong>Chapter 7 is best for bankrupt individuals with:<\/strong><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">few assets<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">problem debts whose sum exceeds two-fifths of his or her annual income<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">problem debts that include credit card debts, medical bills, payday loans, or other debts that a Chapter 7 may wipe out through a discharge<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">no capacity to pay off debts in five years, even with extreme measures<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\"><img decoding=\"async\" class=\"alignright size-full wp-image-5739\" src=\"https:\/\/i0.wp.com\/mcintirelaw.com\/wp-content\/uploads\/2020\/12\/bankruptcy-chapters.jpg?resize=338%2C338&#038;ssl=1\" alt=\"bankruptcy chapters\" width=\"338\" height=\"338\" srcset=\"https:\/\/i0.wp.com\/mcintirelaw.com\/wp-content\/uploads\/2020\/12\/bankruptcy-chapters.jpg?resize=66%2C66&amp;ssl=1 66w, https:\/\/i0.wp.com\/mcintirelaw.com\/wp-content\/uploads\/2020\/12\/bankruptcy-chapters.jpg?resize=150%2C150&amp;ssl=1 150w, https:\/\/i0.wp.com\/mcintirelaw.com\/wp-content\/uploads\/2020\/12\/bankruptcy-chapters.jpg?resize=200%2C200&amp;ssl=1 200w, https:\/\/i0.wp.com\/mcintirelaw.com\/wp-content\/uploads\/2020\/12\/bankruptcy-chapters.jpg?resize=300%2C300&amp;ssl=1 300w, https:\/\/i0.wp.com\/mcintirelaw.com\/wp-content\/uploads\/2020\/12\/bankruptcy-chapters.jpg?fit=338%2C338&amp;ssl=1 338w\" sizes=\"(max-width: 338px) 100vw, 338px\" data-recalc-dims=\"1\" \/>(In contrast, if you have a lot of assets, if you are generally dealing with secured debt, or if it would be possible for you to pay back some of what you owe to your creditors, you might be better of with a <a href=\"https:\/\/mcintirelaw.com\/west-virginia-chapter-13-bankruptcy-lawyer\/\">Chapter 13 bankruptcy petition<\/a>. Credit counselors and bankruptcy attorneys often suggest the debt relief option or filing chapter that is most suited for an individual).<\/span><\/p>\n<p><strong>If you are facing financial problems and would want to qualify for this type of bankruptcy, you must:<\/strong><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">pass the <a class=\"linkilo_keyword_link hyperlinks\" title=\"bankruptcy means test\" href=\"https:\/\/mcintirelaw.com\/filing-for-bankruptcy-chapter-7-what-is-the-means-test\/\" rel=\"dofollow\" data-linkilo-keyword-link=\"linked\">bankruptcy means test<\/a> (which covers your assets, monthly income, and living expenses)<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">have not finished a <a href=\"https:\/\/mcintirelaw.com\/west-virginia-chapter-7-bankruptcy-attorney\/\">Chapter 7 bankruptcy<\/a> (in the last eight years) or a Chapter 13 (in the last six years)<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">have not (in the last 180 days) filed a petition for bankruptcy which was dismissed (especially because of failure to appear or follow court orders)<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">have not (also in the last 180 days) filed a petition that was voluntarily dismissed<\/span><\/li>\n<\/ul>\n<p><strong>If you are planning to <a class=\"linkilo_keyword_link hyperlinks\" title=\"file for bankruptcy\" href=\"\/emergency-bankruptcy-west-virginia\/\" rel=\"dofollow\" data-linkilo-keyword-link=\"linked\">file for bankruptcy<\/a> under Chapter 7, it would be helpful to look at the overview of the steps below:<\/strong><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Undergo credit counseling 180 days (or roughly 6 months) before filing. Pre-<a class=\"linkilo_keyword_link hyperlinks\" title=\"file bankruptcy\" href=\"\/west-virginia-means-test-estimator\/\" rel=\"dofollow\" data-linkilo-keyword-link=\"linked\">file bankruptcy<\/a> counseling is often conducted by a nonprofit credit counseling agency.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Hire a reliable <a class=\"linkilo_keyword_link hyperlinks\" title=\"bankruptcy attorney\" href=\"\/west-virginia-bankruptcy-attorney\/\" rel=\"dofollow\" data-linkilo-keyword-link=\"linked\">bankruptcy attorney<\/a> to help you with paperwork and bankruptcy forms.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">File your petition and wait for the bankruptcy trustee to facilitate the meeting of creditors, sell your nonexempt assets (determined by the bankruptcy code), and pay creditors.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Take a financial education course that is required under bankruptcy law.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Wait for the discharge, which will likely be three to six months after filing, following the usual bankruptcy process.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">For questions on the different chapters and types of bankruptcy filings, give us a call. An experienced <a href=\"https:\/\/mcintirelaw.com\/\">bankruptcy lawyer<\/a> will gladly assist you. Contact us at <strong>Thomas E. McIntire and Associates, L.C.<\/strong> for any concerns about bankruptcies.<\/span><\/p>\n<\/div><\/div><\/div><\/div><\/div>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":2,"featured_media":5740,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[2149],"tags":[],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/i0.wp.com\/mcintirelaw.com\/wp-content\/uploads\/2020\/12\/bankruptcy-chapter.jpg?fit=626%2C417&ssl=1","_links":{"self":[{"href":"https:\/\/mcintirelaw.com\/wp-json\/wp\/v2\/posts\/5738"}],"collection":[{"href":"https:\/\/mcintirelaw.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mcintirelaw.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mcintirelaw.com\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/mcintirelaw.com\/wp-json\/wp\/v2\/comments?post=5738"}],"version-history":[{"count":7,"href":"https:\/\/mcintirelaw.com\/wp-json\/wp\/v2\/posts\/5738\/revisions"}],"predecessor-version":[{"id":6705,"href":"https:\/\/mcintirelaw.com\/wp-json\/wp\/v2\/posts\/5738\/revisions\/6705"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mcintirelaw.com\/wp-json\/wp\/v2\/media\/5740"}],"wp:attachment":[{"href":"https:\/\/mcintirelaw.com\/wp-json\/wp\/v2\/media?parent=5738"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mcintirelaw.com\/wp-json\/wp\/v2\/categories?post=5738"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mcintirelaw.com\/wp-json\/wp\/v2\/tags?post=5738"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}