Chapter 7 Bankruptcy Attorneys Guiding You Through All Types of Filing Challenges in Kingston

If you find yourself in serious financial difficulty, deciding to file for bankruptcy can be a frightening and difficult concept to face. There are a large number of considerations to make before you make the choice, and it can be easy to feel overwhelmed or confused.

Here at Davis Law Firm, we have helped clients across Kingston deal with bankruptcy and allowed them to make a new start for the rest of their lives. Our team of experienced lawyers has the skills you need to make a smart, informed decision that will allow you to file for bankruptcy with minimum stress and confusion.

What Is Bankruptcy?

In legal terms, bankruptcy is defined as a set of federal actions, which can allow relief for both individuals or businesses who are unable to pay their debt or who are facing a higher amount of debt than they are able to pay.

All bankruptcy cases must be held in a federal court; these are the only courts with jurisdiction over bankruptcy cases and will be filed under one of three possible chapters according to individual circumstances: Chapter 12, Chapter 11, and the most common: Chapter 7.

What Is Chapter 7 Bankruptcy?

Chapter 7 bankruptcy is one of the most popular options for individuals and can be one of the most accessible ways to eliminate debt and make a fresh start. This option allows all personal debt to be wiped out, meaning that the debtor can start again. All assets owned by the debtor will be sold, and the profits earned will then be divided between any creditors who are still owed money. Any assets which are exempt from inclusion will still be sold, and any money returned to the debtor.

Filing for Chapter 7 bankruptcy is most useful for individuals with high levels of credit card debt and can be used to wipe clean outstanding balances, as well as offering peace of mind to the debtor. Once you have filed, you can no longer be harassed or pursued by any creditors attempting to collect any outstanding balances; they will be required to go through your attorney if one has been employed, and once the bankruptcy case has been filed and accepted, the debt is considered cleared – you can sleep easy, safe in the knowledge that you are free from repeat calls, threats, or ongoing stress.

In addition to offering security and peace of mind, Chapter 7 is one of the fastest options available for those wishing to go bankrupt, with the process generally taking between 3 and 6 months from start to finish. This means that individuals can file the process, clear the debt, and move on with their lives more quickly – truly a path to a fresh start. Chapter 7 also allows individuals to retain some financial freedom once the case has been filed; any wages you earn after the date you file the claim for bankruptcy cannot be taken or used by creditors. As a result, an individual can start to rebuild their finances immediately, without the crushing weight of debt taking a large amount out of each paycheck.

Chapter 7 has a huge range of advantages, but individuals should be aware that there are some limitations; this filing cannot be used to wipe certain types of debts including student loans, child support, or other taxes. Instead, it is designed mostly for large amounts of personal debt, such as credit cards or store cards.

Should I File Bankruptcy?

The decision to go bankrupt is ultimately a personal choice, but there are two main goals or reasons for the decision. Bankruptcy is a chance for honest debtors to be relieved of the majority of their debts – this is a real opportunity to start again with a clean slate. In addition, bankruptcy offers a chance for any creditors still owed money to recover their outstanding costs; in Chapter 7 filings, this occurs through the sale of the assets owned by the debtors. This amount will then be used to pay any outstanding creditors as far as possible, with the debt usually being settled once a small amount – a ‘token payment’ has been made to partially settle the remaining balance.

How Can We Help?

Here at Davis Law Firm, we have helped clients across Tennessee to file and settle Chapter 7 bankruptcy claims. Our team of motivated bankruptcy attorneys is on hand to help ensure that you receive the best possible advice and to guide you through the various steps to the most appropriate solution for your individual circumstances.

We can help you through every step of the process. Call us at (865) 354-3333.