Are You Filing For Chapter 7 Bankruptcy In Stoneham, Massachusetts? Here Are A Few Things To Consider

Posted on March 10, 2010

Chapter 7 individual bankruptcy is frequently known as “straight” or “liquidation” bankruptcy — it cancels your debts, but you could have to let the bankruptcy court liquidate some of your property for the benefit of your creditors.

The full Chapter 7 bankruptcy process will take roughly four to six months and usually entails no more than one trip to the courthouse.

You must also undertake credit counseling with a particular organization authorized from the United States Trustee.

You won’t end up being able to make use of Chapter 7 bankruptcy when you previously attained a bankruptcy discharge in the previous 6 to 8 years depending on which sort of bankruptcy you filed or if, based on a person’s revenue, expenses, as well as debt burden, an individual may possibly perform a Chapter Thirteen repayment plan.

Declaring for Chapter 7 personal bankruptcy puts in effect a “Order for Relief” — identified informally as the “automatic stay.” The automatic stay automatically stops the majority of debt collectors from attempting to acquire what you owe them. Consequently, debt collectors are not able to lawfully garnish, or take portions of, your wages, clear your bank account, go after your automobile, house, or additional property, or even cut off your utility service or welfare benefits.

By filing for Chapter Seven bankruptcy, you are likely going to be placing the property you personally own and the financial obligations you have in the hands of the personal bankruptcy court. You can’t put up for sale any of the property you own when you file, or pay down your current pre-filing debts, without the court’s approval. Nonetheless, along with a handful of exceptions, you will be able to do what you want with property you acquire along with earnings you make after you file.

A week or two after you file for bankruptcy, you (as well as all of the collectors you record inside your individual bankruptcy documents) will get a notice that a “creditors meeting” has been scheduled. The individual bankruptcy trustee runs the conference and, after swearing you in, may ask you questions about your personal bankruptcy in addition to the papers you filed. In the vast majority of Chapter 7 bankruptcies, this is your only visit to the courthouse.

If you are considering filing for Chapter 7 bankruptcy, contact Stoneham bankruptcy lawyer, Matthew Desrochers. We will provide you with a free bankruptcy consultation and the options available to you.