Chapter 7

Chapter 7 can be filed as an individual with “consumer Chapter 7 bankruptcy” or as “business Chapter 7 bankruptcy”, and tends to last 3-6 months. In Chapter 7 bankruptcy, some property may be liquidated to pay off debts, but often much of the property will be exempt, especially items such as clothing, cars, household furnishings, etc. A benefit of this type of bankruptcy is that most or all unsecured debt is erased, often including instances of credit card or medical debt. It is important to point out that not all types of debt can be erased, such as child and spouse support or most types of tax debt. If money is owed on a secured debt, such as a car loan where the car is pledged as a guarantee of payment, several options exist. The creditor can repossess the property, payments can continue under the original contract, or a lump sum can be paid to the creditor equal to the current replacement value of the property. In some cases, the secured debt can even be eliminated under the bankruptcy.

Call Ventura Attorney Daniel A. Higson at 805-644-7111

Hathaway Perrett Webster Powers Chrisman & Gutierrez, APC is a debt relief agency pursuant to 11 U.S.C. 528(a)(4) and assists individuals, families, and businesses file for bankruptcy relief under the Bankruptcy Code.  This website is a communication under California Rule of Professional Conduct 1-400.  No legal relationship is created by the use of this website and no legal advice is provided.  No guarantee or warranty is provided that your case or matter will achieve any particular result and testimonials and endorsements provided on this site do not constitute a guarantee, warranty, or prediction about your matter or case. This communication is made on behalf of Hathaway Perrett Webster Powers Chrisman & Gutierrez, APC and DANIEL A. HIGSON, State Bar No. 71212 is responsible for its contents.  All information contained on this website may be factually substantiated by a credible source, including data from the United States Public Access to Court Electronic Records (PACER) system.  Detailed data and information is available on request.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s