What Can I Keep When Filing for Chapter 7 Bankruptcy?
What Can I Keep When Filing for Chapter 7 Bankruptcy?
Filing for bankruptcy is a difficult decision that can have long-term consequences. It’s important to understand what you can keep and what must be surrendered when filing for Chapter 7 bankruptcy. At The Law Offices of Ronald S. Siegel, we understand the stress financial hardship can cause and are here to help you understand the process.
When filing for Chapter 7 bankruptcy, debtors are able to keep certain property they legally own, such as wages, bank accounts, and some personal items. This is known as exempt property. Property that isn’t exempt from the Chapter 7 bankruptcy process include cars, retirement funds, real estate holdings, boats and other legal rights. These assets are subject to liquidation in order to pay creditors. In addition to deciding which assets will be kept or sold off through the bankruptcy process, individuals must also file documents with the court detailing their assets, debts owed and other information related to their finances.
The court approves or denies discharge of a debtor's obligations based on an individual's financial situation; however there are exceptions such as student loans or tax debt which cannot be discharged in a Chapter 7 bankruptcy case. Additionally certain forms of income may not be eligible for discharge as well; this could include alimony payments or inheritance money received within 180 days prior to filing for bankruptcy relief.
At The Law Offices of Ronald S. Siegel we strive to provide our clients with the best possible advice when it comes to filing for Chapter 7 bankruptcy relief. We have helped countless individuals navigate the complexities of a bankruptcies filings over many years and we continue to assist clients facing financial hardship today with compassionate advocacy and knowledgeable counsel every step of the way. If you’re considering filing for chapter 7, contact us today so we can discuss your options with you in detail!
