Many individuals, households, and business owners face financial hardship at some point. If your debt is overwhelming and you are constantly dodging collection calls or receiving notice of creditor lawsuits, it is time to discuss your options for financial relief with an experienced bankruptcy lawyer. While Chapter 7 bankruptcy is not the solution for everyone, our firm has seen many clients start fresh after successfully completing the bankruptcy process. Contact a Hollister Chapter 7 bankruptcy lawyer at Miranda, Magden & Miranda, LLP for more information today.
An Overview of the Bankruptcy Process
While there are different types of bankruptcy available, Chapter 7 is the most common among both consumers and businesses. Chapter 7 is often referred to as the “liquidation bankruptcy” because filers may have to give up certain property for liquidation as part of the process. However, the benefits of Chapter 7 often far outweigh the risk of losing assets and property, and some filers do not have to give up property at all. It is always worth it to discuss the Chapter 7 bankruptcy process with an attorney to learn about your options.
There are many steps in a Chapter 7 case, including:
- Preparing and filing the bankruptcy petition
- Applying exemptions to protect as much property as possible
- Attending the 341 Meeting of Creditors
- Relinquishing non-exempt property to the bankruptcy trustee for liquidation
- Obtaining the discharge of all remaining qualified debts
While the process may seem straightforward, there are many opportunities to make errors that may result in delays or even the dismissal of your case without a discharge. It is critical to have the assistance of the right bankruptcy lawyer in Hollister from the very beginning until your case is resolved.
Is Chapter 7 Right for You?
Chapter 7 bankruptcy is available for individuals, married couples, and businesses, but this does not mean that Chapter 7 is always the right choice. First, you have to make sure that you qualify for this type of bankruptcy case, as not everyone does. Consumers filing for Chapter 7 must pass the “means test,” which compares your income against the median income for your state. If your income is too high, the law assumes that you have enough money to make payments and will not allow you to seek a Chapter 7 bankruptcy.
There are other reasons that parties may wish to file for a different type of bankruptcy, such as:
- You have non-exempt property you want to keep
- You have certain debts that are non-dischargeable but that can be addressed in a Chapter 13 payment plan
- You are a business owner and wish to remain in operation
You should carefully consider whether Chapter 7 is the right choice to ensure you gain the most possible from the bankruptcy process.
Learn about Your Options from a Chapter 7 Bankruptcy Attorney in Hollister
The bankruptcy lawyers at Miranda, Magden & Miranda, LLP help clients in the Hollister area find solutions to their financial issues. We can evaluate your best options and guide you through the bankruptcy process. Contact us for more information today.