Chapter 7 Bankruptcy Attorney in South Texas

Facts About Chapter 7 Bankruptcy

A Chapter 7 filing was created by Federal law to protect individuals from their creditors when they had no means to repay their debts.  Most people do not intend to fail to meet their obligations, but due to unforeseen hardships such as job losses, divorces and medical bills, they simply cannot repay their creditors.

By filing a Chapter 7 bankruptcy, with only a few exceptions, you may be able to wipe away (discharge) all of your unsecured debt such as credit cards, unsecured loans, medical bills, broken leases, etc. without having to repay any of it.  The creditors in your Chapter 7 bankruptcy are automatically prevented from further collection actions which include harassing calls, lawsuits, repossessions, or pursuing any other collection action against you.  In most cases, you stand to lose very few assets when filing for Chapter 7, yet stand to gain freedom from the overwhelming debt and worry you have been subjected to.  Some indicators that a Chapter 7 filing may be in your best interests could include:

• Creditors are calling you at your home or work
• Your interest rates on your credit cards have increased because you were late on some of your payments
• Your credit card companies increased your minimum monthly payment and you can't afford it.
• You've had to borrow money from "pay day" loan companies
• You've reached or exceeded the limit on some of your credit cards
• You've had to juggle credit card payments by using some credit cards to pay off other credit cards
• You have trouble sleeping at night because you stress about making ends meet
• You are considering borrowing from your retirement account or home equity to pay your current bills
• You are having marital problems because you and your spouse argue about finances