Let Us Be Your Key to Financial Freedom
Tell Us Your Story
What Debts Are You Struggling With?
Please Estimate Your Total Unsecured
Debt: (Do Not Include your Mortgage,
Auto Loans, or Student Loans)
Total Debt:
First Name:
Last Name:
Please Select
  • Read testimonials and statements from my clients
  • Visit our Blog

Chapter 7 Bankruptcy Attorney

Consult a San Francisco Chapter 7 Bankruptcy Lawyer

For a long time the bankruptcy laws have helped people who were unable to pay their creditors gain a much needed fresh start, but with the recent economic downturn, millions of Americans have turned to bankruptcy protection to regain financial stability and to put an end to creditor harassment. If you are considering your bankruptcy options, most individuals file either Chapter 7 or Chapter 13, whereas business owners tend to file a Chapter 11 bankruptcy.

A Chapter 7 bankruptcy is usually suitable for debtors with little or irregular monthly income and for debtors with a significant amount of unsecured debt such as medical bills and credit card debt. A Chapter 7 bankruptcy case differs from a Chapter 13 because it does not involve the filing of a repayment plan as is required under the Chapter 13. Instead, the bankruptcy trustee gathers the debtor's non-exempt assets, sells them and uses the proceeds to pay creditors in accordance with the Bankruptcy Code. However, since the Bankruptcy Code allows debtors to keep certain non-exempt assets, oftentimes debtors have little or no non-exempt property and therefore get to keep everything that they own– these are called "no asset cases."

Once a Chapter 7 is filed, the "automatic stay" goes into effect, which stops most collection actions against the debtor or the debtor's property. As long as the automatic stay is in effect, creditors cannot initiate or continue lawsuits, wage garnishments, or even phone calls or letters demanding payments.

Discharging Debts Through Chapter 7

The bankruptcy discharge releases the debtor from personal liability for certain types of debts, meaning the debtor is no longer legally required to pay any debts that were discharged in the bankruptcy. The discharge acts as a permanent order that prohibits creditors from attempting to collect on discharged debts and this includes having communications with the debtor about such debts. With a Chapter 7 case, the discharge typically occurs about four months after the bankruptcy is filed with the clerk of the bankruptcy court.

Not all debts are discharged in a Chapter 7 case. Those debts that cannot be discharged or "wiped out" in a Chapter 7 case include:

  • Certain types of tax claims
  • Debts not included in the bankruptcy
  • Spousal support/alimony
  • Child support
  • Debts to government entities for fines and penalties
  • Certain types of tax debts
  • Government funded student loans
  • Debts for personal injury caused by the debtor driving while intoxicated

If the debtor's monthly income exceeds the state median, he or she will have to pass the "bankruptcy means test." Essentially, if the debtor's income is higher than the thresholds allowed by law, the debtor will be diverted to filing a Chapter 13 instead.

Contact a Bankruptcy Lawyer in San Francisco, CA

If you are interested in finding out if Chapter 7 is right for you, we urge you to contact a San Francisco bankruptcy attorney from The Bankruptcy Law Firm right away. Just a few reasons why we are qualified to help you include:

  • Attorney Rita Kostopoulos is a certified bankruptcy specialist by the American Board of Certification.
  • The Bankruptcy Law Firm has been named as one of the Top 100 Firms by the Debt Education and Certification Foundation (DECAF).
  • Since opening our doors, we have represented clients in over 6,000 bankruptcy filings!

If Chapter 7 is right for you, it may offer you the debt relief that you truly need and deserve. No one should have to suffer with unstainable debt if they don't have to. Find out about all of your debt relief options by contacting our firm right away!

Hear what our clients have to say about our services by reading our client testimonials! To get in contact with a member of our legal team, call us today at (415) 275-3018!

The information on this website is for general information purposes only. Nothing on this site should be taken as legal advice for any individual case or situation. This information is not intended to create, and receipt or viewing does not constitute, an attorney-client relationship.
Internet Marketing Experts
The Bankruptcy Law Firm - San Francisco Bankruptcy Lawyer
Located at 201 Spear Street, Suite 1100, San Francisco, CA 94105. View Map
Phone: (415) 275-3018
© 2019 All Rights Reserved.