Bankruptcy petition
Ken Benshish
Ken Benshish
September 17, 2024

Common Questions About Bankruptcy Chapter 7

Bankruptcy Chapter 7, is a legal process designed to help individuals eliminate debt. Here are some common questions people have about this process:

General Questions

  • Who is eligible for Chapter 7 bankruptcy?

    • To qualify, you generally need to meet certain income requirements (which most people typically do)  and as long as you haven’t filed in the last 8 years.

  • What happens to my assets?

    • For simple bankruptcy, most of your assets, if not all, will be exempt which means you can keep everything.

Debt Discharge

  • What types of debt can be discharged in Chapter 7?

    • Most unsecured debts, such as credit card debt, medical bills, and personal loans, can be discharged. However, some debts, like child support, alimony, and student loans, are typically not dischargeable.

  • How long does it take for my debt to be discharged?

    • The discharge process typically takes around 3-4 months.

Post-Bankruptcy

  • Can I get a loan after bankruptcy?

    • It may be difficult to get a loan immediately after bankruptcy, but your credit score will gradually improve over time.

  • Can I file for bankruptcy again?

    • You can’t file for Chapter 7 again for eight years after your initial filing. However, you may be eligible for other types of bankruptcy, such as Chapter 13, sooner.
Copy Link
URL has been copied successfully!