Los Angeles Chapter 7 Bankruptcy Attorney

Chapter 7 bankruptcy is the most common form of bankruptcy, and offers a way out of debt for individuals and families who cannot make ends meet. In Chapter 7 the debtor files a petition for bankruptcy and an “automatic stay” takes effect on most collection activity, prohibiting creditors and debt collectors from contacting you or filing a lawsuit against you. The petition is then administered by a bankruptcy trustee who is legally capable of taking possession of all “non-exempt” property and liquidating it to distribute the proceeds among creditors (although usually the property is exempt). After this all of the debtor’s unsecure debt (such as credit care bills, medial bills, loans, certain lawsuit judgments, and certain taxes) can be discharged. However, similar to Chapter 13, the consumer will remain responsible for secured debt (such as alimony, child support, student loans, criminal fines, fines and judgments related to drunk driving, or debts left out of the petition). Before you file for Chapter 7 bankruptcy, it’s important to discuss your particular financial situation with an experienced bankruptcy attorney to make sure it’s the best legal option for your needs.

How do I find out if I’m eligible for Chapter 7?

Not everyone qualifies to file under Chapter 7 bankruptcy. You must pass a “means test”, which is a complex calculation based on several factors, including your income, debt amount, disposable income, and the median income for California. If you do not past the “means test” because your income is considered too high, you can still file for bankruptcy under Chapter 13. The Law Offices of J. Arthur Roberts could help you find out if you qualify for Chapter 7 bankruptcy. Their Los Angeles bankruptcy attorneys can help ensure that your bankruptcy filing is both thorough and also maximizes the benefits of bankruptcy for you and your family so you can have a “fresh start.”

If you would like to discuss your Chapter 7 options with a Los Angeles bankruptcy lawyer, please contact J. Arthur Roberts for a consultation today!