Bankruptcy Chapter 7 in Norwalk CA

Four Things You Need to Know About Bankruptcy Chapter 7 in Norwalk CA

If you are in financial trouble and are not sure how to get out of it, bankruptcy Chapter 7 in Norwalk CA might be the solution you’ve been searching for. At Winterbotham Parham Teeple, a PC we can help you find a way out. Keep reading to learn some of the most important things you should know about this type of bankruptcy and then contact us at 800.400.9000 if you require a consultation.

Not Everyone Qualifies for Bankruptcy Chapter 7 in Norwalk CA

The goal of bankruptcy Chapter 7 in Norwalk CA is for a person who is in a difficult financial situation and cannot pay their debts to have an option to get out. You must first pass what’s known as a “means test,” which determines if your case can continue under bankruptcy law.

In specific situations, creditors have the right to submit a petition asking the court to dismiss your case if your income is higher than the median income for the state in which you live and the size of your household. The court will determine whether or not to dismiss the bankruptcy.

Most of Your Assets Are Exempt from Bankruptcy Chapter 7 in Norwalk CA

Nine out of ten of our clients keep everything in a Chapter 7 bankruptcy. If you choose Chapter 13, you can keep the assets you choose, due to the fact that unsecured debts are what’s known as “as in full.” Regardless of which of these two types of bankruptcies you file, all assets must be listed when you file.

Your Attorney Will Explain Various Types of Improper Conduct That Could Impact Your Bankruptcy

The purpose of filing a Chapter 7 case is to obtain a discharge of your existing debts. If, however, you are found to have committed certain kinds of improper conduct described in the Bankruptcy Code, the court may deny your discharge and, if it does, the purpose for which you filed the bankruptcy petition will be defeated. Proper advice is key to a successful discharge.

There Are Exceptions to the Unsecured Debts That Can Be Discharged in Bankruptcy 7 in Norwalk CA

There are some exceptions. You may still be responsible for most taxes; student loans; debts incurred to pay nondischargeable taxes; domestic support and property settlement obligations; most fines, penalties, forfeitures, and criminal restitution obligations; certain debts which are not properly listed in your bankruptcy papers; and debts for death or personal injury caused by operating a motor vehicle while intoxicated.

The bankruptcy court may also rule that a debt is not discharged if a creditor can show that it was caused by fraud, a violation of fiduciary responsibility, theft, or a malicious harm.

Call Us Now if You Want to Speak to an Experienced Bankruptcy Lawyer

You can turn to Winterbotham Parham Teeple, a PC when you need pre-petition planning in order to make sure that your bankruptcy is prepared correctly. More than 90% of our clients get to keep everything and lose nothing. We are able to achieve this for them by planning, reviewing, and ensuring that all special exemptions allowed are taken. Call us at 800.400.9000 for a consultation.