Learn how Chapter 7 bankruptcy works.
In a Nutshell, Chapter 7 Bankruptcy, also known as the ‘fresh start’ bankruptcy, is a common legal process that allows you to totally erase many debts, including credit card debt, medical debt, car loans, and payday loan.
This chapter of the Bankruptcy Code provides for "liquidation" - the sale of a debtor's nonexempt property and the distribution of the proceeds to creditors.
Chapter 7 will help you wipe the slate clean by eliminating the following types of debts:
Credit cards and store cards.
Bank loans and lines of credit.
Large medical bills.
Certain tax obligations.
Chapter 7 bankruptcy does not allow for the discharge of non-dischargeable obligations such as:
Child and spousal support.
Federal income taxes.
Chapter 7 Bankruptcy Attorney in Florida
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