How does chapter 7 works and who is eligible for it?

In a chapter 7, the trustee looks at your stuff. He is looking for stuff that is both valuable and unprotected. If he finds anything, he takes it and sells it. He uses that money to pay down your debt. Once that money is gone, any debt that qualifies disappears. If you haven't filed a 7 in the last 8 years and you don't make a ton of money, you qualify. Feel free to contact me to discuss your particulars at your convenience.

How a 7 will work and whether you are eligible depends on your finances, so you need to sit down with counsel and review your numbers.

In a chapter 7, you file a petition with the bankruptcy court that contains various schedules and questions as detailed on the official bankruptcy forms. You must list all of your debts, assets, income, and expenses, among other extensive information. You will then be required to attend a creditor meeting (also known as a 341 meeting or a trustee's meeting) where you will be asked questions about the contents of your petition. If successful, you will receive a discharge about 60 days later. You must take two credit counseling courses, one before filing and one after filing, and you should be aware that certain debts cannot be discharged. Also, if you have any debts secured by collateral (e.g. a car with a loan on it), then you may need to negotiate a reaffirmation agreement with the car loan company so you can keep making payments and keep the car. There is much more involved in the process of filing for bankruptcy and you should at least go to an initial consultation with an attorney before filing to determine if you would benefit from a lawyer handling your case.

Bankruptcy is a very complicated process. It is wise to talk to an experienced bankruptcy attorney before deciding to take this important step. Most Arizona bankruptcy attorneys offer a free consultation about the basics of bankruptcy.

To be eligible for Chapter 7 bankruptcy relief, you must qualify based on your income ("means test") and not have filed in the last 8 years. Assuming you have not filed for Chapter 7 relief in the last 8 years, you need to pass the means test. The means test takes your income over the last 6 months and the size of your family to determine whether you fall in the top half of earners in the State or the bottom half of earners. If you fall in the bottom half, you qualify for Chapter 7 relief. If you fall in the top half of the earners in California, you usually must file for Chapter 13 relief instead. There are exceptions, though, such as when the majority of your debt is "non-consumer" for example, debt from a business enterprise, etc. Contrary to what many people think a Chapter 13 case does not necessarily require you to pay back everything you owe in full. The basic concept is that you pay every month what you have left over after paying for taxes and your reasonable budget expenses and in exchange you can discharge up to approximately $360,000 in unsecured debt (currently). If you have too many unexempt assets, however, you may have to pay more than only what you have leftover at the end of the month. In sum, however, either Chapter 7 or 13 relief is usually advantageous and can give you a fresh start either quickly under a Chapter 7 or under your own terms in a 13.

Chapter 7 discharges all of one's debts. There are various exemptions that allow one to have essentials. You can file yourself, but I recommend contacting an attorney to evaluate your options. Your overall financial position determines whether Chapter 7 or 13 is best for you. Most attorneys offer no charge for initial consultation.

You file a petition and the debt you owe gets discharged. You can file a chapter 7 in Florida if you make under a certain amount and have a family of a certain number of people. It is not something you can just go and do quickly.

Wow - that is a pretty broad question. A Chapter 7 is a proceeding under federal law that allows most kinds of debt to be eliminated if, during the prior 6 months, your average income indicates that you cannot reasonably afford to pay even a small portion of your debt off.

Most people are eligible for Chapter 7. The details and eligibility depend upon a number of factors. I suggest you talk to a bankruptcy attorney to discuss the specific details of your situation.

Question: How does chapter 7 works and who is eligible for it? *- you must first determine if you are eligible to file a Chapter 7 through the MEANS TEST. If you are, then you get a complete discharge and don't have to pay any creditors back (provided all of your assets are exempt). Its generally a quicker process and can get you the relief you need more quickly. There are many more caveats I could provide, but not without knowing all of the facts and circumstances of your particular case. *