Charlotte Bankruptcy Lawyer
What is Chapter 7 bankruptcy?
Chapter 7 refers to the chapter of the federal Bankruptcy Code, the body of law that deals with bankruptcy in the United States. Chapter 7 bankruptcy is sometimes called "liquidation" bankruptcy and is a common form of bankruptcy that cancels your debts. Under this section of the code, you might have to let the bankruptcy court liquidate some of your property for the benefit of your creditors.
It's imperative to hire a Charlotte attorney who is well-versed in Chapter 7 bankruptcy for these complex issues.
Who can file for Chapter 7 bankruptcy?
There are clear criteria that determine who can file for Chapter 7 bankruptcy, and who will be forced to file under Chapter 13. It is important to note that disabled veterans who incurred their debts during active duty, and people who incurred their debts primarily from the operation of a business, are clearly eligible to file for Chapter 7 bankruptcy.
Everyone else must meet the following income requirements: If your current monthly income is less than or equal to the median income for a family of your size in your state, you can file for Chapter 7. Current monthly income is your average income over the last six months before you file.
If your income is more than the median, then you must pass a “means test” or you cannot file for Chapter 7. The means test determines whether you have enough disposable income, after subtracting certain allowed expenses and required debt payments, to repay at least a portion of your unsecured debts over a five-year repayment period.
You cannot file if you have previously received a bankruptcy discharge
If you obtained a discharge of your debts in a Chapter 7 case within the last eight years, or a Chapter 13 case within the last six years, you cannot file for a Chapter 7 bankruptcy.
Charlotte Bankruptcy Law Attorney
Charlotte, North Carolina attorney Lee Schwilm has filed thousands of Chapter 13 and Chapter 7 cases. Please call us to see if you and your bankruptcy case can benefit from our experience with Chapter 7 Bankruptcy Law. Contact us at Schwilm Law Firm, PLLC, 7520 East Independence Boulevard, Suite 260, Charlotte, North Carolina 28227 or by phone at 704-567-5252.
Frequently Asked Questions:
- What is Chapter 7 Bankruptcy?
- Can I File Chapter 7 Bankruptcy?
- What is Chapter 13 Bankruptcy?
- Who Can File Chapter 13 Bankruptcy?
- Should I Borrow Against My House?
- What About My Credit?
- Will My Creditors Stop Harassing Me?
- Should I File Bankruptcy?
- Why Should I Hire a Lawyer?
- What About Credit Counseling?
- What Should I Expect?
- What Should I Bring?
- Bankruptcy advice
- Should I prepare a budget for bankruptcy?