Chapter 7, otherwise known as “liquidation” or “straight bankruptcy” is generally the simplest and quickest form of bankruptcy. The benefits of a chapter 7 bankruptcy are available to individuals, married couples, corporations and partnerships. A trustee appointed by the court gathers and sells your nonexempt property and the proceeds from the sale pay your creditors. You’re able to keep any “exempt” property.

 

Most chapter 7 cases are “no-asset” cases, which means that the debtor doesn’t have nonexempt property for the trustee to sell. When a petition for bankruptcy is filed, the debtor declares whether the case is “asset” or “no-asset” and the burden is on the trustee to change the designation.

 

If creditors haven’t persisted in trying to get money from a debtor through the trustee within 60 days of the 341 meeting, it is likely that the debts that existed before the filing date will be “discharged” or canceled.

 

Shumway Van & Hansen has dedicated and knowledgeable bankruptcy attorneys and paralegals that handle its chapter 7 and chapter 13 bankruptcy cases. Our bankruptcy lawyers can give you the immediate debt protection you need right now in order to help you to move on to a more financially stable future. The right choice in a law firm today can make a major difference as you begin to build for a better tomorrow.

 

For even more information please visit the firm’s site www.bkylawyer.com