Articles Posted in Chapter 7

Filling a Chapter 7 Bankruptcy petition can be complex, but the attorneys at Savage Villoch Law, PLLC are equipped to ease the burden and guide you through the process with care.

As we’ve previously covered in our chapter 7 bankruptcy blog series, determining chapter 7 eligibility can be complicated in itself, as can properly balancing the benefits and drawbacks unique to your circumstances.  Advice from trusted, experienced legal counsel can help you smoothly navigate these obstacles and ensure you get the relief you deserve as quickly as possible.

Once you have made these crucial pre-filing decisions, Savage Villoch Law can also assist you through the process of filing your Chapter 7 Bankruptcy petition. This petition will be filed in your local bankruptcy court and consists of several Official Bankruptcy Forms which detail information such as your current assets and liabilities, a record of your current income and expenditures, a statement of your financial affairs, and any open contracts or unexpired leases.

Chapter 7 bankruptcy can ease some of your financial burdens if you’ve fallen behind on monthly bills, but how do you know if you are eligible to file in the first place?

At a high level, to be eligible under chapter 7 you must be able to show that you do not have the means to pay your monthly expenses and debts given your current income.

Any individual with an income below their state’s median for their household size is automatically eligible to file under chapter 7. However, you may still be eligible even if your income falls above the median, you will just need to pass the chapter 7 means test first.

If you are dealing with debt that has become unmanageable despite your best efforts at repayment, Chapter 7 bankruptcy may be an avenue to consider. Although Chapter 7 bankruptcy comes with its own set of drawbacks to keep in mind, it also has the potential to help you begin rebuilding toward a healthier financial future.

Chapter 7 bankruptcy is often referred to as “liquidation bankruptcy” because it allows individuals to completely discharge some portions of their debt, but only after certain assets have been liquidated. It is both the fastest and most common type of bankruptcy, and often allows debt to be discharged within three to five months of filing. However, before filing, there are some important factors to consider.

First, you should consider your current financial situation to determine eligibility.  When filing for Chapter 7 bankruptcy, a variety of financial documents will be disclosed, including schedules of assets, liabilities, income, and expenditures, transcripts of tax returns, and a list of all owned property, among other information. As with any form of bankruptcy, individuals must also undergo credit counseling and provide a record of completion before filing.[1]

investment and bankruptcy lawyers serving tampaFor most of those who are faced with bankruptcy,  some find it particularly challenging to make an informed decision about the right attorney to hire. However, even when faced with the dire pressure of a financial crisis, it is important to make a cool and collected decision when choosing a lawyer.

Avoid Bankruptcy Mills

Some legal practices have become known as “bankruptcy mills,” as they focus on churning and burning as many cases as possible instead of fulfilling the specific needs of individual clients. Although it can be hard to identify this without being a bankruptcy lawyer yourself, reading reviews and interviewing several different lawyers can substantially reduce the possibility of this occurring.

investment and bankruptcy lawyers serving tampaBankruptcy protection gives debtors a fresh start. But before filing, it is important to know the common mistakes people make during the process.

Not Being Truthful 

The means test is the first step to filing bankruptcy. It consists of several financial questions that will determine if you can pay your creditors. If you don’t mention all of your income or assets, your case could be dismissed. A bankruptcy lawyer can help you make sure everything is presented correctly.

investment and bankruptcy lawyers serving tampaThe rising cost of healthcare is one of the top three reasons people file for bankruptcy, even if they have health insurance. If you’re struggling to pay your medical bills, continue reading to learn about Chapter 7 and Chapter 13 bankruptcy.

Pre-bankruptcy Counseling 

Federal law mandates that you must attend ninety minutes of approved credit counseling before you’re allowed to file for bankruptcy. The cost differs from provider to provider, but it’s often around $50.

investment and bankruptcy lawyers serving tampaWhen it comes to bankruptcy, Chapter 13 is the second most common filing behind Chapter 7, according to a leading bankruptcy lawyer.

What is Chapter 13?

It lets you sort out your finances while protecting you from creditor harassment and wage garnishment at the same time.

investment and bankruptcy lawyers serving tampaAccording to a Chapter 7 Lawyer in Tampa, in order to file for Chapter 7 bankruptcy, you must first pass the means test.

What is the Means Test?

It compares your income with the official median income for households in the state of Florida.

investment and bankruptcy lawyers serving tampaFiling bankruptcy is complicated and confusing to most people, especially when there are several myths about the process.

Myth: You can decide which debts to list in your bankruptcy filing.

Truth: You must list all debts, even those owed to family and friends.

investment and bankruptcy lawyers serving tampaThe decision to file for bankruptcy isn’t easy, but it is one of the best options for getting out of debt.

Filing for bankruptcy is complicated and below are reasons you need a Chapter 7 lawyer in Tampa.

Deciding on the Right Bankruptcy Filing

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