Sometimes known as a straight bankruptcy, a Chapter 7 bankruptcy allows debtors to liquidate some of their assets, pay a portion of their debt, and have the remainder discharged by the bankruptcy court. A Chapter 7 bankruptcy lawyer in Middleton, MA, can determine if this is the right course of action in your case. Why would the lawyer recommend a Chapter 7? Here are a few reasons why this may be right for you.
You Don’t Have the Means to Pay Off Your Debt
One of the reasons why a lawyer would recommend this solution is that the client does not have the resources to honor those debts. If you don’t have enough income and you have no nonexempt assets to speak of, the court is likely to discharge all the debt, leaving you with the opportunity to make a fresh start.
You Have No Debt That Cannot Be Discharged by a Chapter 7 Filing
Current bankruptcy laws do not allow some forms of debt to be discharged. These include state and federal taxes, back child support or alimony payments, and student loan balances. Since your debts are all eligible for discharge, it makes sense to work with a Chapter 7 bankruptcy lawyer in Middleton, MA, area to prepare your petition, undergo the court-ordered debt-management courses, and allow the legal process to take its course.
You Want to Be Done With the Debt as Quickly as Possible
The bottom line is that you’re emotionally worn out from dealing with the debt. Your efforts have made things worse instead of better. All you really want now is to resolve your debt problem and start anew. Assuming there are no factors that would prevent the court from approving your petition, it makes sense to file for Chapter 7 and be debt-free in a matter of months.
If you’re no longer able to manage your debts, talking with a Chapter 7 bankruptcy lawyer in Middleton, MA, is the most practical option. After reviewing the specifics of your case, the lawyer can tell you if this is the best solution or some other type of protection from your creditors is in order.
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