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Attorney Debt Relief, P.C. - Christopher J. Jackson

Monterey Bankruptcy | Bankruptcy Hollister | Salinas Bankruptcy

CHAPTER 7

As a result of the “Great Recession” and housing bubble, millions of Americans are struggling to keep up with their monthly bills and household expenses. Bankruptcy protection was designed for such situations.

What Debts Can I Eliminate in a Chapter 7 Bankruptcy?
If you are one of the millions of Americans struggling with debt, filing for a Chapter 7 bankruptcy may be the best decision you could ever make. Under a Chapter 7 bankruptcy, you can eliminate all of your unsecured dischargeable debts, which may include credit card bills, medical bills, utility bills, some bank loans, judgments from creditors, certain business debts, and more. Once discharged, they are gone forever!

Certain debts are not dischargeable, including certain taxes, alimony, child support, criminal debts, student loans, and a few others. We can help you to determine whether or not a debt will be eligible for discharge.

Will a Chapter 7 Bankruptcy Stop My Foreclosure, Repossessions, Etc.?
Filing either a Chapter 7 or Chapter 13 bankruptcy stops creditor harassment, wage garnishment, lawsuits, repossessions and foreclosures.

What Assets Can I Keep in a Chapter 7 Bankruptcy?
A Chapter 7 bankruptcy also allows you to keep, with some limitations, all of your “exempt” property such as household goods, cash, bank accounts, clothing, jewelry, retirement accounts and other assets. Most Chapter 7 debtors keep all unsecured assets. You can generally keep your car(s) and in some instances your house (if you so desire).

Should I file a Chapter 7 or Chapter 13 Bankruptcy?
Chapter 7 has some significant advantages over Chapter 13 in that it will simply eliminate the majority of your unsecured debts (with some exceptions) and give you a “fresh start” in as little as 3-4 months. However, not all people will qualify for a Chapter 7 bankruptcy.

A Chapter 13 bankruptcy reorganizes (and usually reduces) your debt into a lump-sum which you pay off over 3 to 5 years. This is preferable for those who have enough income to pay off their debts but just need a reasonable plan under which to do it. Chapter 13 also provides a potential long-term solution for those who want to keep their house. However, not all people qualify for a Chapter 13 bankruptcy.

How will Bankruptcy affect my Credit?
While bankruptcy will affect your credit to a degree, if you are in default on many bills, your credit score is likely already suffering. The good news is that filing for bankruptcy will wipe your debts clean on your credit report, and can sometimes even improve your credit score! See Wall Street Journal Article: "Declaring Bankruptcy Can Improve Your Credit Score."

While bankruptcy will stay on your credit report for seven (Chapter 13) or ten (Chapter 7) years, depending upon your situation you may qualify for a home loan in as short as 18-24 months. As noted in the above article, you can also achieve a 700 credit score within a few years with proper credit management. We can discuss ways to improve your credit after bankruptcy.

Contact an experienced and compassionate bankruptcy lawyer at Attorney Debt Relief, P.C today. We’ll review your financial situation to determine whether a Chapter 7 or Chapter 13 bankruptcy is right for you.

Contact us for a FREE consultation: (831) 655-5111

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We provide bankruptcy services in Monterey County, San Benito County, Santa Cruz County, Santa Clara County, Monterey, Hollister, Salinas, Watsonville, Seaside, Marina, Santa Cruz, Aptos, Pacific Grove, Carmel, Pebble Beach, Chualar, Gonzales, Soledad, Greenfield, Gilroy, Morgan Hill, San Jose & King City.*

*We can sometimes arrange to meet you at a location convenient to you.

"We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code."

Tel: (831) 655-5111

Fax: (831) 655-5112