Chapter 7 Bankruptcy Overview
Seek Freedom from Credit Card Debt—Learn about Chapter 7 Bankruptcy
Credit card debt is one of the most troubling financial issues for American families today.
Harvard law professor Elizabeth Warren noted in her essay 'The Battered Athlete' on TPM Café that:
- 23 million Americans currently can't make more than the minimum payment on their credit cards
- nearly half of all credit card holders missed at least one payment in 2007
- nearly 25 percent of families are worried about how they will pay for their credit card bills at the end of the month (view more debt statistics ).
And, of course, many Americans are facing even tougher financial times today than in 2007.
If you're one of the many Americans feeling like you've lost control of your finances, you may have more power than you think.
To learn more about your options if you are facing uncontrollable debt, speak with a local bankruptcy lawyer. Simply fill out our free case evaluation form below or call 877-833-2410 to connect to an attorney today.
The Liberating Power of Chapter 7 Bankruptcy
Chapter 7 bankruptcy works to help many people with credit card and other unsecured debts wipe their financial slates clean through a discharge of those debts.
The beauty of Chapter 7 bankruptcy is that this financial freedom from credit card debts is quick and absolute.
In most cases, an automatic stay takes effect upon filing for Chapter 7 bankruptcy. The automatic stay is a court order prohibiting most actions to collect, including creditor calls, foreclosure, repossessions, utility shut-offs, wage garnishments, license suspensions due to uninsured accidents, and other actions.
In addition to credit card bills, Chapter 7 personal bankruptcy typically discharges other unsecured debts (debts that are not tied to any item or property) such as:
- medical bills
- most personal loans
- payday loans
- wage garnishments
- judgments resulting from car accidents
- deficiencies on repossessed vehicles
- some older tax debts
Non-dischargeable debts in Chapter 7 bankruptcy cases typically include child support, student loans and many tax debts.
Chapter 7 Bankruptcy Debt Liquidation
Chapter 7 bankruptcy is also known as liquidation. Although the idea that property can be liquidated—or sold—to pay debts is alarming to some people, exemptions protect basic property.
Many people who file for Chapter 7 bankruptcy are relieved to discover that they have no non-exempt assets, and therefore get to keep all of their property.
Discuss Your Bankruptcy Options with a Local Attorney
To continue exploring how bankruptcy may be able to free you from unmanageable debt, get in touch with a local bankruptcy attorney. An attorney can help you learn whether Chapter 7 bankruptcy may offer you a new financial beginning.
At Clear Bankruptcy, we can put you in contact with a local bankruptcy lawyer who can examine your financial situation and explain how the personal bankruptcy process works in more detail.
Simply fill out our free evaluation form or call toll-free 877-833-2410 to speak with an attorney near you today.
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