If you go for Chapter 7 bankruptcy, you may have a lot or all of your debts canceled. On the other hand, you might need to sell some or all of your property to pay back creditors. This type of bankruptcy is called ‘liquidation’ bankruptcy.

The whole process can take about 4 – 6 months to complete and there are some charges involved. Moreover, you must complete a credit counseling course.

If you have been declared bankrupt in the past, usually within 6 – 8 years, you might not be eligible to file for Chapter 7 bankruptcy.

To file for this you’ll need to complete a petition and a number of forms that will describe about your property, current income and living expenses, debts, property you owned and the money you spend in the last 2 years and anything that you’ve sold or given away during that time too.

You are, however, exempt from having to sell certain things. The court can’t make you sell your clothes, household furnishings, and necessities such as things you need for working, e.g. your car and other tools.

At the end of this process your debts will be wiped out. Some debts will not allowed to be wiped out and these include things like child support, taxes, and student loans.

Related Posts
Buying or Selling real estate property
If you are not an expert in buying or selling a real estate property, you need the help of a sales agent to walk you through the entire process. You ...
READ MORE
What works and what does not work in a traffic court?
Did you know that in a traffic court, when the officer who caught you fails to show up during the trial, you will win the case? This may happen if ...
READ MORE
Driving license suspended? how to preventions
Driving privileges can be revoked for reasonable violations. These violations may pertain to driving under the influence or driving while intoxicated that leads to disobedience to simple or complex road ...
READ MORE
What are the Dos and Don’ts when you are not able to pay rent on time
You don’t have to worry about getting evicted if you can’t pay rent on time. You won’t, not right away at least. It’s inevitable to run short on funds. It’s ...
READ MORE
Basics of Business Partnership
By definition, a partnership is a business with more than just one person or one owner running it. A partnership refers to businesses with owners who have not filed legalities ...
READ MORE
Declaring bankruptcy
Declaring bankruptcy is one of the many options a debtor can perform when he can no longer meet the terms of his financial obligations to his creditors. In the United ...
READ MORE
Child Abuse
Kid misuse is the actual, sex-related or emotional maltreatment or ignore of kids or kids. In the United States, the Centers for Disease Control and Prevention (CDC) and the Department ...
READ MORE
Questions which should be asked to a real estate attorney
Afterall, you are going to invest a good nest egg on it and real estate transactions are undoubtedly important. There are a plenty of things to consider when buying or ...
READ MORE
Workers Compensation: Different illness and injuries covered
Just because you work in a company that has workers compensation doesn't mean you're entitled for coverage right away. Although it's very unfortunate that you met an accident or that ...
READ MORE
How to get your security deposit back?
Before you can move in to a rented apartment, you have to deposit a big amount of money to the landlord first. This money is called the security deposit. This ...
READ MORE
Buying or Selling real estate property
What works and what does not work in
Driving license suspended? how to preventions
Not able to pay rent on time? Dos
Basics of Business Partnership
Declaring Bankruptcy
Child Abuse
Questions which should be asked to a real
Workers Compensation: Different illness and injuries covered
How to get your security deposit back?