Photo by Pavel Danilyuk

Under Chapter 7, some kinds of debts are eliminated. The Law Office of Ronald Stadtmueller can help discharge you of your debt.

Bankruptcy is when a person or other economic agent owes more money than they can pay back. In the United States, individuals who declare personal bankruptcy can do so under two assistance under the US Bankruptcy Code, Chapter 7 or Chapter 13. Under Chapter 13, some kinds of debt are restructured so that some debts are repaid. However, under Chapter 7, some types of debts are completely desolated.

Chapter 7 bankruptcy, a.k.a. a liquidation or straight bankruptcy is a type of bankruptcy that can clear away many kinds of unsecured debts. If you need to catch up on your bills and require the means to afford living expenses and monthly payments, filing Chapter 7 bankruptcy could be the ultimate resort to help you revamp your finances. However, you may have to capitulate some of your assets, which will negatively influence your creditworthiness.

How Chapter 7 Bankruptcy Work

The court places an automatic temporary stay on your present debts when you file for Chapter 7 bankruptcy. This stops creditors from collecting, garnishing wages, and payments, foreclosing on your home, turning off your utilities, or evicting your repossessing property. The court will take legal control of your property and assign a bankruptcy trustee to your case.

The trustee’s job is to assess your finances and assets and run your Chapter 7 bankruptcy. They will sell a specific property the bankruptcy will not let you keep (nonexempt property) and use the proceeds to repay your creditors. The trustee will also arrange a meeting between you and your creditors—called a creditor meeting—where you will go to a courthouse and answer questions about your filing.

After the process, the court will discharge your remaining debts approximately four to six months from your initial filing (meaning you do not need to pay them anymore). 

Now while the idea of bankruptcy often brings a lousy connotation, bankruptcy laws were designed to give individuals in distressing financial situations a chance to start over. Bankruptcy can aid you in resolving your debt and returning to the stable financial ground. Still, because of the long-term negative impact on your creditworthiness, it is vital to understand the implications before you begin. The Law Offices of Ronald E. Stadtmueller can solidly explain and guide you on what Chapter 7 bankruptcy demands, who is qualified to file, and how bankruptcy will influence you now and in the days to come.

Discharging You Of Your Debt

            Sometimes situations beyond your control can profoundly impact your earning potential and lead to overwhelming debt. If you cannot pay your bills, consider filing for bankruptcy. Designed to give debtors a fresh start, Chapter 7 bankruptcy gives you and your spouse relief from debts through liquidating your assets. They help you discharge you of your debt.

            With more than 30 years of experience, we at the Law Offices of Ronald E. Stadtmueller, a Chapter 7 San Diego, can help you file for Chapter 7 quickly and efficiently. Once you have filed for bankruptcy, creditors must immediately stop collection efforts, including harassing letters and phone calls. 

Preparing For Your Appointment With Our Professional Legal Counsel

To immediately begin analyzing your case, you must provide us with certain information on your appointment with the Law Offices of Ronald E. Stadtmueller. You need to bring the following:

  • A list of your creditors’ names, the amount of each claim, and the nature of the debt
  • Your employer’s name, your gross and net income
  • Other sources of income and amounts
  • A list of what you own, and estimates of the value of each item
  • A list of your monthly bills and details of each expense

This information can help the Law Offices of Ronald E. Stadtmueller provide an accurate assessment of whether Chapter 7 bankruptcy is appropriate for you.

Life After Bankruptcy

Filing bankruptcy can be physically, emotionally, and financially draining. However, it may be your excellent option when bills keep piling up, and you need the means to pay your creditors. It is also possible to recover from bankruptcy and rebuild your credit and finances, but it will take time. But first things first, get a law firm that will help you discharge you of your debt.

Pin It on Pinterest

Share This
Skip to content