Chapter 7 Bankruptcy Attorney

Choose Your Market

Courts, exemptions, and process differ by location. Start with the office that will actually file your case.

A Path Forward

Debt can accumulate quickly, and before you know it, it may feel impossible to manage. Financial stress can impact both your credit and your quality of life, especially when dealing with persistent creditor calls and collection agencies. Fortunately, even when it seems like there are no options, there may be a path forward.

Attorney Stephen A. Thomas will review your overall financial situation, including your income, assets, and debts, to determine whether Chapter 7 bankruptcy is the right solution for you. You will receive clear guidance and step-by-step support throughout the process, so you never have to worry about deadlines or paperwork.

What is Chapter 7 Bankruptcy?

Chapter 7 bankruptcy is a legal process that may discharge qualifying unsecured debt and provide a financial fresh start. In some cases, non-exempt assets may be liquidated by a court-appointed trustee to repay creditors.

The trustee reviews your financial situation, including your assets and debts, to determine whether any property is available for liquidation. Federal and state law provide exemptions that may protect a primary residence, vehicle, personal property, and other eligible assets.

Although Chapter 7 is sometimes described as a “liquidation bankruptcy,” many cases are “no-asset” cases in which no property is sold. Eligibility, exemptions, and dischargeable debts depend on the facts.

Chapter 7 is a common form of debt relief, but not every debt is dischargeable and not every person or business qualifies. A consultation can clarify whether it fits your situation.

Do You Qualify for Chapter 7 Bankruptcy?

Qualifying for Chapter 7 bankruptcy typically requires passing the Means Test, which evaluates your income and ability to repay your debts.

Income limits vary significantly from state to state based on the cost of living. These limits also depend on household size and are updated regularly. Even if your income exceeds the median level, you may still qualify after applying allowable expenses and deductions.

Who Should File for Chapter 7 Bankruptcy?

Individuals and certain businesses may be eligible to file for Chapter 7 bankruptcy if they meet specific requirements under federal law.

• Pass the Means Test or otherwise demonstrate inability to repay your debts
• Have not received a Chapter 7 discharge within the past eight years
• Complete a required credit counseling course from an approved agency
• Meet other eligibility requirements under the Bankruptcy Code

Reasons to Consider Filing

• You need relief from qualifying unsecured debt
• Your credit has already been significantly affected
• Credit-card or medical debt has become unmanageable
• You are facing foreclosure, wage garnishment, or collection actions
• You cannot keep up with essential monthly expenses
• Repaying the debt within a reasonable period does not appear realistic

Reasons Not to File

• You have sufficient income to repay your debts over time
• You are current on your obligations and not facing collection pressure
• You want to protect secured property and have significant equity
• You are eligible for alternative solutions, such as Chapter 13 bankruptcy or negotiated debt resolution

How Much Does It Cost to File?

The cost of filing Chapter 7 bankruptcy depends on whether you file on your own or hire an experienced bankruptcy attorney.

Court filing fees are set federally at $338 for Chapter 7. Attorney fees depend on your case. We explain every cost in your free consultation before you commit to anything.

Chapter 7 Bankruptcy Due Diligence Checklist

• Recent pay stubs and/or proof of income for the past six months
• Bank statements for the past 12 months
• Federal and state tax returns for the past four years
• List of all creditors and recent statements
• Credit reports from Equifax, Experian, and TransUnion
• Deeds, mortgages, liens, vehicle titles, insurance policies, and appraisals
• Divorce decrees, domestic court orders, lawsuits, judgments, and liens

What Happens After You File?

After a Chapter 7 discharge is entered, qualifying debts covered by the discharge no longer have to be repaid.

Chapter 7 bankruptcy may appear on a credit report for up to 10 years. Many individuals begin rebuilding credit after filing, and the impact can decrease over time with responsible financial habits.

• You receive a bankruptcy case number from the court
• An automatic stay generally begins and may pause wage garnishments, lawsuits, and collection calls
• A bankruptcy trustee is assigned to review your documents, verify your financial information, and oversee your case