- What is Chapter 7 Bankruptcy?
- Can a Business File for Chapter 7?
- What is the Bankruptcy Automatic Stay?
- What Does the Automatic Stay Stop?
- How Long Does it Take to File Chapter 7 Bankruptcy?
- What is the Chapter 7 Means Test?
- What are Exempt Assets?
- What is ‘secured’ debt?
- Can I transfer or dispose of my possessions or property before I file bankruptcy?
- What is Chapter 7 Discharge in Bankruptcy?
Chapter 7 is a type of bankruptcy that offers individuals a fresh financial start by discharging many unsecured debts (such as credit card debt, medical debt and more).
Chapter 7 is sometimes referred to as the “liquidation” bankruptcy because, in theory, your bankruptcy trustee can liquidate or sell off to raise cash any of your non-exempt assets (assets that are not protected by California’s exemption statutes).
Most people who qualify for Chapter 7 bankruptcy have few or no non-exempt assets, so liquidation is highly unlikely with proper bankruptcy planning and analysis.