On behalf of Law Offices of Kathleen G. Alvarado posted in chapter 7 bankruptcy on Wednesday, May 2, 2018.
When a Riverside, California, family gets in to financial trouble, they may have many legal options available to them. For instance, they may be eligible for more than one type of bankruptcy protection, or they may be able to work with their creditors through a process that does not involve bankruptcy at all.
Although what is right for an individual family depends on their unique circumstances, there are several advantages a family might want to consider with respect to filing a Chapter 7 bankruptcy.
For instance, a Chapter 7 has the advantage of being a relatively fast and nonetheless effective process. Instead of repaying debts over months or even years, a family filing a Chapter 7 can ordinarily expect their case to be wrapped up in a few weeks. Moreover, while they may have to turn over some “non-exempt” property, assuming they have any, the family will be able to devote all of their future income to getting back on their financial feet.
Furthermore, a successful conclusion of a Chapter 7 will result in a discharge of most of the debtor’s debts, especially unsecured debts like credit cards and medical bills. While a Chapter 7 will not dissolve liens on a family’s home or automobile, the Chapter7 discharge will also protect the family from personal liability following a repossession or a foreclosure on their home.
A Chapter 7 bankruptcy might not be the best option for everyone, but there are several reasons why most people file Chapter 7 as opposed to Chapter 13 when they have a choice. A Chapter 7 bankruptcy is a relatively fast way for a family to get free from a burden of debt quickly and without having to scrape together money month after month trying to repay their debts.