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what are the chances for me to file a ch 7 for 7000

Hi moe

Welcome to the forums. Chapter 7 bankruptcy can be filed by any individual regardless of the amount of debt and whether he is solvent or not. However, you cannot file for any of the bankruptcy chapters if you have dismissed a bankruptcy petition sent to you by the court due to your willful failure to appear in the court. You also cannot file for bankruptcy if your creditors sought relief through the bankruptcy court for recovering your property on which they hold liens. .html

Chapter 7 bankruptcy is filed by an individual who wishes to discharge his debts, thus stopping the creditors to take any action against you or your property to collect the debt. But there are some types of debts which are not always considered in the bankruptcy filing. They are:
  • Liens on property
  • Delinquent child support
  • Federal student loans and
  • Delinquent taxes
Process of filing chapter 7 Bankruptcy
  • Step 1 - All the details of your creditors are obtained including the name, address, amount of your debt, list of your property and a detailed list of your monthly living expenses.

  • Step 2 - Fill out the bankruptcy form.

  • Step 3 - Submit your bankruptcy form in the nearest court.

  • Step 4 - The court issues an "Automatic Stay" in your account which restricts the creditors from contacting you for recovering your past debts and continuing any collection procedures. They are also stopped from filing a lawsuit against you, wage garnishments, or calling you on the telephone.

  • Step 5 - After 20 to 40 days after your petition is filed, you will be required to appear for the 341 meeting which usually takes 15 - 20 minutes of time. You will report in front your creditors, if they turn up, that you are unable to pay your debts. Creditors for the last time will insist you if you can pay 50 cents on the dollar and if you are unable to pay even that amount; they will stop contacting you any further for recovering the debt.

  • Step 6 - The court will accept your petition. The trustee will liquidate any of you non exempt assets.

  • Step 7 - It takes 60 - 90 days for the court to accept your discharge and will send you an official discharge notice via mail.

  • Step 8 - After you receive this discharge notice, you are officially released from paying any of your past debts. Now the creditors cannot take any legal action against you or on your exempted property.

  • Step 9 - After all has happened, it is time now for rebuilding your credit rating.

The cost of filing bankruptcy includes case filing fee, trustee surcharge and miscellaneous fee which comes to a total of $200. It can be paid in four payments over 120 days.

Though filing for bankruptcy releases all your past debts, but it will be advised to settle the debt instead of filing for bankruptcy. The reason for not filing bankruptcy is that as per the new laws, you will still be required to pay your debt if you are able to earn a livelihood. Moreover, it will stay in your credit report for as long as 10 years which will be considered as a bad mark in your credit file. Please read this page for having a broad idea. l


Sub: #1 posted on Tue, 07/05/2005 - 22:24

roxette roxette

(Posts: 4009 | Credits: 559.9)

I filed a chapter 7 bankruptcy and the 341 meeting date has been set. How can I stop a creditor's collection agency from continuing to garnishment my checking account?

Sub: #2 posted on Wed, 05/21/2008 - 21:06


Once your Chapter 7 is filed, the garnishment should stop. You need to speak to your attorney to be sure about this - maybe it won't stop until the discharge is completed? But I always thought that once it was filed, the garnishments, etc. had to stop.

Sub: #3 posted on Wed, 05/21/2008 - 22:23

(Posts: 4581 | Credits: 654.65)

To qualify for relief under chapter 7 of the Bankruptcy Code, the debtor may be an individual, a partnership, or a corporation or other business entity. 11 U.S.C. ???????? 101(41), 109(b). Subject to the means test described above for individual debtors, relief is available under chapter 7 irrespective of the amount of the debtor's debts or whether the debtor is solvent or insolvent. An individual cannot file under chapter 7 or any other chapter, however, if during the preceding 180 days a prior bankruptcy petition was dismissed due to the debtor's willful failure to appear before the court or comply with orders of the court, or the debtor voluntarily dismissed the previous case after creditors sought relief from the bankruptcy court to recover property upon which they hold liens. 11 U.S.C. ???????? 109(g), 362(d) and (e). In addition, no individual may be a debtor under chapter 7 or any chapter of the Bankruptcy Code unless he or she has, within 180 days before filing, received credit counseling from an approved credit counseling agency either in an individual or group briefing. 11 U.S.C. ???????? 109, 111. There are exceptions in emergency situations or where the U.S. trustee (or bankruptcy administrator) has determined that there are insufficient approved agencies to provide the required counseling. If a debt management plan is developed during required credit counseling, it must be filed with the court.

One of the primary purposes of bankruptcy is to discharge certain debts to give an honest individual debtor a "fresh start." The debtor has no liability for discharged debts. In a chapter 7 case, however, a discharge is only available to individual debtors, not to partnerships or corporations. 11 U.S.C. ???? 727(a)(1). Although an individual chapter 7 case usually results in a discharge of debts, the right to a discharge is not absolute, and some types of debts are not discharged. Moreover, a bankruptcy discharge does not extinguish a lien on property.

Sub: #4 posted on Sun, 05/25/2008 - 13:25

justin.hi5 justin.hi5

(Posts: 85 | Credits: 6.83)

People garnishing are in direct violation of the bankruptcy stay issued upon filing.Sick your attorney on them now.

Sub: #5 posted on Sun, 05/25/2008 - 19:53

cajunbulldog cajunbulldog
(Posts: 4859 | Credits: 425)

That's what I thought, Cajun - thanks for the clarification!

Sub: #6 posted on Sun, 05/25/2008 - 20:45

(Posts: 4581 | Credits: 654.65)

What would be considered "Step 6 - The court will accept your petition. The trustee will liquidate any of you non exempt assets". We have close to $30k in c/c unsecured debt but we have a 1995 Chevy that my BIL paid for & we are paying him back. IT looks paid off on record but really it's not & that's my husband's transportation. Also we just recently seperated & my husband is disabled & I am head of household. We definitely need to file before the suits come in & I am terrified of wage garnishments (I live in FL).Can I really do all the bankruptcy paperwork myself ?

Sub: #7 posted on Sat, 07/05/2008 - 19:15


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