when you file chapter 7 bankruptcy does that mean they take all your assets?
i need to file but i don’t know which is best chapter 7 or 13. i have a good job but my finaces got out of control.
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bankruptcy is not state to state it is federal. so its the same in every state you file in. you are not gonna lose any of your assets. if you have a house or car you can keep them as long as you make the payments. you can have as many cars as you want. you can file chapter 7 depending on your income and if you have children or not. if you make less than 39,500 with no children you can qualify for chapter 7 (this is an example). the court filing fees are 299.00. neither chapters are good and they will show up the same on your credit report. they are not gonna take any other assets either. nothing will be seized and sold. many people are not well informed when it comes to bankruptcy. you can consult an attorney for free. look in the yellowpages and find a close attorney to you. they can also answer any questions you might have.
February 15th, 2010 at 9:57 pmWith the changes in the bankruptcy laws, if you have a high level of credit card debt, and the courts rule that you can afford a payment of at least $100 a month, then you won’t be allowed to file chapter 7 and will have to file chapter 13 and be put on a repayment plan. The plus side is a chapter 13 falls off your credit record sooner than a chapter 7.
As for your assets, you’re allowed a certain amount in exemptions. Like you’re allowed to keep one car, your clothes, most household items, etc. Laws vary by state, though, so an attorney could best advise you about limitations where you live. I know in some states, you’re not allowed to keep computers, game systems, excessive electronic equipment (like big screen TV’s and stereo systems), sporting goods or recreational vehicles of any kind. The court can order those seized and sold to go toward paying your debts.
February 15th, 2010 at 9:57 pmYou need to consult with a bankruptcy lawyer. They will not charge you anything until it is time to actually file, and you will likely get better advice than anyone here. They can answer all your questions and be able to tell you which assets you can keep. Godspeed.
February 15th, 2010 at 9:57 pmOnce you file for Chapter 7 bankruptcy, the bankruptcy court assigns a trustee who works as an intermediary between you and the debtors. He oversees everything and checks out if the bankruptcy plan is going as planned.
But you also have to hand over your possessions and properties to the trustee. They are sold off and the money is used in clearing your debts. But what you can do is to keep a part of your home, cars or some of your property. But most of your debts are cleared off.
February 15th, 2010 at 9:57 pmhttp://get-out-of-the-debt-trap.com/category/Information-on-Chapter-7-Bankrupt.html