General Information re: Chapter 7
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LAW OFFICES OF JENNIFER REICHHOFF 14895 East 14th Street, Suite 320 San Leandro, CA 94578 Tel.: 510-915-0595 Fax: 510-372-0209 Map San Leandro Office |
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Chapter 7 bankruptcy allows debtors to receive a "fresh start." This means that you will typically be able to "discharge" or walk away from unsecured debts, such as credit card debt, medical debts, personal loans, payday loan advances, departments store debts and any deficiency balances (usually after a vehicle repossession or home foreclosure). If you have a judgment lien against your property, you may be able to remove it. You may also be able to walk away from certain tax debts.
Chapter 7 bankruptcy will also stop any creditor harassment, lawsuits, wage garnishments, bank levies, IRS collection actions, foreclosures, and repossessions. Most of these actions are stopped permanently, however certain actions can only be postponed - for instance, if you are unable to discharge your taxes, the IRS may resume collection after a certain period of time. If you have an emergency and need to stop a collection action immediately, such as a pending wage garnishment or repossession, a case can be filed the same day (as long as all required documents and fees are paid).
Although there are limits on how much property you can retain in Chapter 7, the vast majority of debtors are able to keep 100% of the things they own. At your free consultation, we will discuss all of your assets and what effect Chapter 7 would have on your ability to keep your property. Many people who come into the Law Offices of Jennifer Reichhoff believe that you cannot keep your house or car and still file a Chapter 7; this is untrue. Again, most people are able to keep their property, and if you have a auto loan or mortgage, as long as you maintain your payments, you can keep your assets. If, however, the value of your assets would pose a risk in a Chapter 7, we will discuss your options at your appointment.
Chapter 7 does not allow you to reorganize debt. If you need a bankruptcy that will allow you to catch up on missed mortgage payments or missed car payments, repay tax debts (income or property taxes) or remove 2nd mortgages, a Chapter 13 case may be a better choice.
Chapter 7 Filing Process:
Filing a Chapter 7 can be fast, and many of my clients are surprised by how relatively easy the process is (they often say that finally deciding to make an appointment is the most difficult part). Once you contact my office, we will schedule your free consultation at a convenient time for you. My office offers weekend and evening appointments. Although I always recommend coming in for a face-to-face appointment, sometimes that is not possible, for instance you have medical issues, suffer from anxiety or are unable to miss work, and so phone consultations are available.
At your appointment, we will discuss your assets (property you have), debts, income and expenses. In order to give you the best advice, you should have a general idea about your financial situation (i.e. the year, make and model of your car, approximately how much you owe against your home, the approximate total of your credit card debt, your monthly income, etc.). If you are not sure about this information, I will do my best to advise you, however my advice and recommendations may change once you have provided the specific information. You are not required to bring in any paperwork to your free consultation, but if you have any questions about paperwork that you have received, please bring it with you.
You will also be given a packet at your appointment. It will include a checklist of the information you will need to provide in order to prepare your case, some reading materials, and letters you may send to your creditors once you have retained my services. If you chose to retain my services, you may do so at your free consultation or at a later date, however a case will not be filed until you have provided all of the required paperwork and paid all fees. Attorney's fees are set on a case-by-case basis, and I will be able to set your fees at your free consultation.
Once your case is prepared and your fees have been paid, you will review and sign your documents, and then your case will be filed with the court. A meeting with your trustee will be set for approximately 30 days after your case is filed. From the date of filing to the date of discharge, the process for a Chapter 7 is approximately 3 months (assuming that you have completed all of the required steps).
At your appointment, we will discuss your assets (property you have), debts, income and expenses. In order to give you the best advice, you should have a general idea about your financial situation (i.e. the year, make and model of your car, approximately how much you owe against your home, the approximate total of your credit card debt, your monthly income, etc.). If you are not sure about this information, I will do my best to advise you, however my advice and recommendations may change once you have provided the specific information. You are not required to bring in any paperwork to your free consultation, but if you have any questions about paperwork that you have received, please bring it with you.
You will also be given a packet at your appointment. It will include a checklist of the information you will need to provide in order to prepare your case, some reading materials, and letters you may send to your creditors once you have retained my services. If you chose to retain my services, you may do so at your free consultation or at a later date, however a case will not be filed until you have provided all of the required paperwork and paid all fees. Attorney's fees are set on a case-by-case basis, and I will be able to set your fees at your free consultation.
Once your case is prepared and your fees have been paid, you will review and sign your documents, and then your case will be filed with the court. A meeting with your trustee will be set for approximately 30 days after your case is filed. From the date of filing to the date of discharge, the process for a Chapter 7 is approximately 3 months (assuming that you have completed all of the required steps).