CHAPTER 7 BANKRUPTCY DEFINED
Because it provides d ebt relief for people who have excessive debt, Chapter 7 bankruptcy is referred to as a “fresh start” bankruptcy or “liquidation” bankruptcy. Individuals from all professions and economic statuses find themselves owing an overwhelming amount of debt. Chapter 7 bankruptcy can eliminate medical debt, credit card debt, judgements and/or lawsuits against you (thus, giving you a fresh start on your finances).
THE CHAPTER 7 BANKRUPTCY FILING PROCESS
The first thing you should do if you are considering filing Chapter 7 bankruptcy, is to call the law office of My AZ Lawyers. Why? An experienced bankruptcy attorney can asses your financial situation and evaluate your debt. Take advantage of a [cryout-button-dark url=”#”]FREE CONSULTATION [/cryout-button-dark]in which a lawyer can help you go over your income, expenses, and all debt in order to get a true picture of your financial situation. By doing this, you can visit your options and make good decisions.
Determining if a Chapter 7 bankruptcy is right for you is something that needs to be discussed with an attorney. By meeting with a lawyer at My AZ Lawyers, and providing some financial information, you will be advised as to what would be the next best step to take in order to get you your fresh start. Some clients discover that they would better benefit by filing a Chapter 13 bankruptcy, or sometimes bankruptcy is not necessary, (debt settlement) as the bankruptcy attorneys at [cryout-button-dark url=”#”]My AZ Lawyers[/cryout-button-dark] know the ins-and-outs of the process. The bankruptcy code is complicated, and you are allowed “exemptions” which allow you to keep certain property in your bankruptcy. So you want an attorney to look at they property you own.
Arizona has its own set of exemptions and dollar limits on what you allowed to keep. There are exemptions for housing and vehicle. A Mesa bankruptcy attorney can analyze and determine how and if these will work in your favor. Our attorneys are experts at Arizona bankruptcy law and know all the exemptions.
If you decide to proceed with a bankruptcy, the law firm collects more information and you take an online credit counseling class (one hour) before then attorney can file your bankruptcy. The bankruptcy court requires this to be done, but it is available to take 24/7.
You will need to provide paperwork to the office, and we will file with the bankruptcy court (typically a 2 week process). After reviewing the paperwork and signing that it is correct, it is filed, and you are assigned a case number. Many clients think once they come into the law office and retain an attorney, they will get filed the next day, but it is a process that takes a few weeks.
If you have a need for an emergency filing, and cannot wait the 2-week period, contact My AZ Lawyers immediately if your filing is urgent.
Many clients think once they come into the law office and retain an attorney, they will get filed the next day, but it is a process that takes a few weeks. Contact a chapter 7 bankruptcy lawyer and see if filing for bankruptcy protection in Mesa, Maricopa County, Arizona is right for you.
An Automatic Stay will go into effect once your bankruptcy car is filed. This bankruptcy provision means that all creditor collection activity is required to stop. This includes phone calls, letters, repossessions, and home foreclosures. If any of your creditors wish to make any further communications, they would have to go through the attorney.
Approximately 40 days after filing, you will attend a “first meeting of creditors” hearing at court. A bankruptcy trustee will review your petition and ask you questions. Creditors are allowed to also attend this hearing. The hearings are informal and typically do not last long. Your lawyer from My AZ Lawyers will be at that hearing with you. The hearing is a basic and simple process. After attending the hearing, you must forego a 60 day waiting period. This is just to give both creditors and bank trustees time if needed to follow-up on the hearing if they choose to do so.
During this 60 day time frame, you are then required to take a second online class —- this needs to be completed in order to receive your discharge. There is a small fee and it takes a couple of hours.
Once you have completed all the requirements and waited the 60 days, you will receive a discharge: an order form the court that eliminates all of your debt that can be eliminated legally.
In total, from the time your case is filed to getting your discharge papers, expect the process to take 3-4 months.
IS CHAPTER 7 RIGHT FOR YOU?
You should seed advice from [cryout-button-dark url=”#”]My AZ Lawyers[/cryout-button-dark] about your financial situation. An attorney who has practice with bankruptcy cases will help you to understand both the law and your options. Maybe Chapter 7 is not available to you. Maybe a chapter 11 or 13 would offer more effective debt relief for your case. Maybe your issues can be resolved by debt negotiation.
My AZ Lawyers offers payment plans: low-fee guarantee, file now, pay later — our law firm wants to give superb legal representation to Arizona clients at an affordable rate.