There is a certain stigma attached to the term Chapter 7 bankruptcy. When you hear that term, you think someone has really trudged on hard times. However, the reality is that bankruptcy happens to people of all socioeconomic classes, and often times it happens for reasons beyond our control, such as the loss of a job, a feeble economy or a catastrophic injury or death.
Fortunately, there is a course of action people can take when they suffer those hardships, and no longer have the income needed to stay afloat. More specifically, by filing Chapter 7 bankruptcy, you are able to discharge outstanding debts, such as medical bills, personal loans, utility bills, credit card debt, and other liabilities on your personal ledger.
To look at it more technically, filing for Chapter 7 Bankruptcy means all legal or equitable interests in property will, at least for the time being, become property of the estate. Next, the property is liquidated and split between creditors; however, some property is exempt from the state, meaning creditors do not have a legal right to it. Such exemptions allow you to keep your house, your car, your household furnishings, your personal property, and your retirement funds. In most cases, individuals are allowed to keep all their property.
As you can see, bankruptcy is a very complex filed of law, and it is best that you have the advice of a competent attorney when weighing your options. For those in need of a Chapter 7 bankruptcy attorney in Buffalo, NY, I welcome you to call or email me. I have been in your shoes before, and my experience and legal expertise will help you throughout the process.