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Chapter 7





Chapter 7 is the part of the Federal bankruptcy law designed for people in financial difficulties who do not have the ability to repay their existing debts, such as credit cards and payday loans. Attorney Andrew Nichols can help you get a fresh start by wiping out your debts and allowing you to get on with your life. Everyone’s situation is different. Attorney Andrew Nichols can determine whether Chapter 7 is right for you.

Chapter 7 is the most common form of bankruptcy in the United States. In a Chapter 7 case, the bankruptcy court appoints a trustee to examine your assets to determine if you have any exempt property, such as real estate mortgages and car loans, for example. Exemptions are laws that allow you to keep certain types and amounts of money and property.

Filing Chapter 7 Bankruptcy


Exemption laws allow you to protect a certain amount of equity in your residence, motor vehicle, household goods, health aids, life insurance, and retirement plans, as well as future earnings such as social security benefits, child support, and alimony, along with certain other types of personal property.


Any non-exempt property will be liquidated by the trustee, who distributes the proceeds among unsecured creditors. Although a liquidation case can rarely help you with secured debt (the secured creditor still has the right to repossess the collateral if you fall behind with your monthly payments), you are discharged from the legal obligation to pay unsecured debts such as credit card debts, medical bills, and utility arrearages. However, certain types of unsecured debt are allowed special treatment and cannot be discharged, including some student loans, alimony, child support, criminal fines, and some taxes.

A Chapter 7 bankruptcy stays on your credit report for 10 years from the date of filing, unlike a Chapter 13 bankruptcy, which stays on your credit report for 7 years from the date of filing. A bankruptcy might make credit less available and/or terms less favorable, although having too much debt can also have the same effect. Allow our chapter 7 bankruptcy lawyers to help you through these situations. 

Attorney Andrew Nichols has helped thousands of people for over 25 years with their Chapter 7 filings. We will meet with you at no cost to help determine the correct approach to solving your debt problems. Attorney Andrew Nichols can help you learn whether you qualify for a Chapter 7 bankruptcy—or whether bankruptcy is the right answer for you. We will help you ensure all requirements are fulfilled so the bankruptcy goes smoothly and your assets are safe.

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