Consumers frequently file for Chapter 7 bankruptcy, also known as “liquidation bankruptcy.” Your properties are immediately protected after you file them, and no creditor can take them over your secured debt. Furthermore, creditors are not permitted to obtain a court judgment for unsecured debts that can be converted into a lien against any property they own.

We’ll walk you through every step of the bankruptcy process. We are dedicated, friendly, and knowledgeable. Contact us today and allow us to assist you in regaining your financial freedom and comfort through our high-quality bankruptcy legal services.

Your Creditors Can’t Take Your Property

This law is based on United States Bankruptcy Code Section 362, which states unequivocally that filing a bankruptcy petition necessitates the operation of a “stay,” and it applies to all entities.

During the automatic stay, creditors are not permitted to exercise control over, take possession of, or enforce a lien on your property. Only after your bankruptcy case has concluded can the “automatic stay” be lifted.

Your Creditors Can’t Obtain A Judgment Against You

The “automatic stay” prevents your creditors from enforcing or even obtaining a judgment against you if you file a chapter 7 bankruptcy. If your creditor has already obtained a judgment, it can become a lien against you, even if it was for unsecured creditors.

You Can Give Up Property That You Don’t Want For Your Secured Without Penalty

You have the right to give up any property that you no longer need, want, or simply cannot afford to keep. The good news is that giving up the property will not cost you anything because you will not face any penalties.

Another significant advantage is that you will not have to pay the remaining debt after giving up the property to be sold by your creditors.

You will also have no tax debts, and your creditors will not pursue you for the balance of the debt. No one will sue you if you file for bankruptcy because you did not pay off all of your debts.

You Will Keep Your Car Or House

You will be able to keep your property, including your car or house, even if you fall behind on your unsecured or secured debt payments. Your lender can only give you a certain amount of time to get your finances in order to pay your debts.

However, you can renegotiate your debt repayment plan or terms with some creditors; they may be willing to lower your principal balance or monthly payments. You can also negotiate with them to lower the interest rate on your debt.

If you file bankruptcy under Chapter 7, you will receive debt relief while remaining on good or friendly terms with your creditors as long as you continue to make payments as agreed.

Steps on Filing Chapter 7 Bankruptcy In Media, PA

You will be able to successfully file Chapter 7 bankruptcy in Media, PA, with the assistance of a bankruptcy lawyer to help you clear your unsecured debts, such as credit card debt, or create a good repayment plan for your secured debt.

The Chapter 7 bankruptcy filing procedure entails the following steps:

1. Attend Counseling

Within 180 days of filing, you must complete a credit counseling course, either as a group or as an individual. You can take the course either online or over the phone.

2. Fill Out Bankruptcy Forms

You will need to complete bankruptcy forms with the assistance of your bankruptcy attorney. This ensures that all relevant information, such as recent transactions, creditors, income, a property list, exemptions, and any other relevant information, has been included.

You’ll be charged a fee, but if your income falls into a certain range, you may be eligible for a fee waiver.

3. Trustee Takes Over

After a bankruptcy court accepts your documents, your trustee takes over. Among the documents, your trustee will verify are bank statements, tax returns, paychecks, and business documents.

4. Creditor Meeting

Your bank trustee’s next task will be to arrange a meeting between you, your lawyer, and your creditors. Your job during this brief meeting will be to answer questions about your financial situation and paperwork.

5. Handling Nonexempt Property And Secured Debts

Your trustee will manage your non-exempt properties and will collaborate with you to determine which ones should be sold.

Furthermore, your trustee will inform you of which properties you must surrender to your creditors if they were used as collateral, or you can negotiate a repayment plan with them. Secured debts can be repaid in installments.

6. Attend Another Course

You will be required to take another financial education course, after which you will be given a certificate to take to court. An approved credit counseling agency will teach the course.

7. Wait For Discharge Notice

Your debts will be discharged 60 to 90 days after the bankruptcy case hearing. Your case will be closed shortly after that.

Why Choose Our Experienced Bankruptcy Attorneys In Media, PA

If you need a bankruptcy attorney in Media, PA, look no further than Michael Alan Siddons. He has dealt with a lot of bankruptcy cases, and we will help you file for chapter 7 bankruptcy, which will help you get rid of your debts and get back to a good financial situation.

We’ll walk you through every step of the bankruptcy process. We are dedicated, friendly, and knowledgeable. Contact us today and allow us to assist you in regaining your financial freedom and comfort through our high-quality bankruptcy legal services.