Chapter 7 Attorneys in San Diego
Helping You Become Debt Free
The term “bankruptcy” can sound like a terrifying phrase to
many who do not know the deeper purpose behind it, but in reality,
bankruptcy can offer a profound solution of a fresh start to you and your family.
Chapter 7 bankruptcy is an extremely helpful way of erasing mountains
of debt. However, the process of filing for it can be admittedly quite
complex if you are attempting to do it on your own. Being able to carefully
keep track of every single deadline for required paperwork, making sure
you have turned in the right documents at the right time, and arranging
necessary meetings with your trustee is both exhausting and almost impossible
to do independently.
Moreover, if you are unable to satisfy each of these mandatory procedures,
your case could be simply dropped, and the pile of debts will come flowing
back. This is why it is crucial that you are supported by dedicated Chapter
7 lawyers in San Diego. You can count on Debt Relief Legal Clinic to safely
navigate you through the arduous Chapter 7 bankruptcy process.
Call us today at
(619) 639-9228 to experience support from our Certified Bankruptcy Specialists.
How Chapter 7 Bankruptcy Works
Other common names for Chapter 7 bankruptcy include the terms “straight
bankruptcy” as well as “liquidation.” For any unfortunate
individuals or businesses who have been negatively affected by external
pressures and are no longer able to repay their huge mountain of debts,
Chapter 7 is often the appropriate solution.
If you currently have any possessions available to be used, these items
can be liquidated into monetary values that will then pay back a great
deal of your debt. Whatever debts are remaining will then be completely
forgiven and discharged. In the event that you do not have any valuable
possessions, the debts will still be wiped out completely. While such
discharge is only available for individuals rather than businesses, even
business debtors have the great benefit of liquidating assets and property,
which they often could not use anyways. The cash from these assets can
greatly decrease the amount of remaining debt.
Chapter 7 Eligibility & The Means Test
Not everyone will be able to file for Chapter 7, as there are restrictions
on who can file based on income. Typically, Chapter 7 is reserved for
those with lower incomes, while
Chapter 13 is for high wage earners.
In order to qualify for Chapter 7, you must pass the means test, which
measures your income against the median income of your state:
- If your current monthly income is less than your state's median income
based on your household size, then you pass the means test.
If your monthly income exceeds the state's median, then you do not pass
the means test. However, you may be able to delay filing until you can
pass the means test or consider filing for Chapter 13 instead. Consult
a bankruptcy attorney to help you determine if you are eligible.
Types of Debts That Are Dischargeable Under Chapter 7
Many of our clients are surprised and encouraged by the sheer number and
categories of debts that can be discharged through Chapter 7 bankruptcy.
This list of dischargeable debts includes:
- Personal loans
- Credit cards
- Debts made on account of business
- Medical bills
- Claims for negligence
- Remaining funds for repossession claims
- Claims for accidents from automobiles
- Certain claims on taxes
Why Hesitation Can Harm You
For Chapter 7 bankruptcy cases, the faster you get your application in,
the more likely you are to succeed in winning it. Delays only complicate
your case, and they also allow your creditors more time to keep harassing
you, or even make a move on
foreclosing your house or repossessing your car. The sooner you start the process, the sooner
our Chapter 7 Attorneys in San Diego can direct you to discover all the
exemptions and discharges you can receive to finally give you a fresh start.
Contact us at
(619) 639-9228 so that Debt Relief Legal Clinic can aid you in wiping your financial