Chapter 7 Bankruptcy Overview
Chapter 7 Bankruptcy is sometimes referred to as “Liquidation Bankruptcy.” That is true whether you are filing bankruptcy in Colorado Springs or in the Denver Metro area. When a debtor files a Chapter 7 Bankruptcy, the court appoints a Bankruptcy Trustee to the debtor’s case. The Trustee effectively represents your creditors and will essentially determine whether or not there are any non-exempt assets in the bankruptcy estate worth liquidating. Many Chapter 7 filers do not lose any assets because they are either exempt or have no real liquidation value to the trustee.
A debtor does not simply get to choose to file for a Chapter 7 Bankruptcy; rather, he must be eligible to do so. In 2005, the Bankruptcy Code was amended and effectively made it more complex and difficult to file a Chapter 7 Bankruptcy. Wagner Law Office, P.C. prides itself on ensuring that our clients filing for Chapter 7 Bankruptcy actually qualify to do so.
Process for Filing a Chapter 7 Bankruptcy
The first step in the process for filing your Chapter 7 Bankruptcy is to schedule your FREE consultation with an attorney at Wagner Law Office, P.C. (CLICK HERE TO SCHEDULE AN APPOINTMENT). The attorney will give you straight-forward, sound information about filing a Chapter 7 Bankruptcy and discuss what issues could you expect during the process. There are various reasons why someone is filing for bankruptcy, (i.e., garnishment, divorce, credit cards payments, loss of income, medical, etc.), and each situation requires a different strategy.
Once you disclose certain information and documentation to Wagner Law Office, P.C., your case will be prepared and reviewed with you. A filing date will be chosen and the documents that will be filed with the court will be signed under penalty of perjury. Once your case is filed with the United States Bankruptcy Court, you will be assigned a case number, a Chapter 7 Trustee and a hearing date, (the “Meeting of Creditors”). About twenty to forty days after the case is filed, you will appear at your hearing in front of your Trustee. This is an opportunity for your creditors to appear and ask you questions while you are under oath. Thereafter, the Trustee will gather up any assets he or she believes are property of the bankruptcy estate. Depending upon the value of the assets gathered, the Trustee will distribute the funds to creditors in accordance with the Bankruptcy Code.
The primary purpose for filing a bankruptcy is to receive a discharge of your debts. The date for receiving a discharge is about 75 to 90 days after your hearing date with the Trustee. There are various other deadlines throughout the process but your attorney will keep you advised of those crucial dates. Once you have received your discharge order, your case will generally close when the Trustee has completed his distributions and has filed the appropriate documentation.
Take action now to begin the fresh start you deserve by calling us today at 303-996-0149 or by filling out our online EASY CONTACT FORM for a free case evaluation with an experienced bankruptcy attorney at Wagner Law Office.