Are you tired of receiving constant phone calls from creditors and collection agencies when you miss your monthly payments? Does freedom from your mounting debt seem unattainable?
If your monthly payments have become overwhelming and out of control, it may be time to consider speaking with a Chapter 7 Attorney in Joliet Illinois about filing for Chapter 7 Bankruptcy.
With 5 convenient locations in the Chicago, Illinois area (Schaumburg, Chicago, Warrenville, Waukegan, Joliet), Chang & Carlin is equipped to assist with your bankruptcy filing and make sure you have representation to lead you through this challenging time. Request a Free Chapter 7 Consultation Today.
Unfortunately, many people have a negative conception of bankruptcy, mostly because they do not understand that bankruptcy laws exist to help people alleviate the burden of insurmountable debt. The reality is that Chapter 7 Bankruptcy can be step on the road to financial recovery.
One of the most beneficial aspects to declaring Chapter 7 Bankruptcy is that it puts an immediate stop to creditor harassment and threats, which can help restore your sanity!
What is Chapter 7 Bankruptcy?
Chapter 7 Bankruptcy, sometimes referred to as liquidation, is a way to eliminate unsecured debt when you are in over your head with your monthly payments. It can be used to waive money owed on credit cards, medical bills, personal unsecured loans and many other types of unsecured debt.
What Debts Are Exempt From Chapter 7 Bankruptcy?
There is a category of debt classified as “non-dischargeable debts”, which include child support, student loans and most types of tax related debt. If you have any questions about whether a certain type of debt is exempt, you should consult a Chapter 7 Attorney.
Chapter 7 Bankruptcy: Secured vs. Unsecured Debt
Bankruptcy will not automatically discharge liens such as your mortgage. If you want to continue to own your home or car, you will need to continue making payments. However, it is possible under Chapter 7 to give the “security” back and discharge the remaining debt along with the rest of your unsecured debt.
Why is Chapter 7 Bankruptcy Called Liquidation?
A bankruptcy trustee can liquidate your unprotected assets to pay part of your bills. However, due to the exemptions provided by Illinois law, most people who file for Chapter 7 Bankruptcy don’t have unprotected assets.
The Chapter 7 Bankruptcy Process
You may be surprised to learn that the process of filing chapter 7 bankruptcy is fairly simple and relatively fast. The following is a quick rundown of the steps you should expect to take:
Get a qualified bankruptcy attorney on your side:
Chapter 7 bankruptcy can have nuances that may not be comprehensible to someone without legal experience. You will find it very beneficial to have legal representation who knows the process and understands how best to proceed.
Take the “means test”:
This is a test that evaluates your personal income in comparison to the state average. You need to pass this test to qualify to petition for bankruptcy.
Receive a trustee:
Once you pass the means test you will be placed under protection, which means that creditors will no longer be allowed to contact you for debt repayment. Instead they will be directed to your state appointed trustee who will handle them going forward.
Your trustee will also acquire control over all of your assets. They take these assets and liquidate them into cash. That cash is then used to first pay your daily living expenses and then the remainder is distributed amongst your creditors.
The chapter 7 bankruptcy process will last approximately 6 months. Then you will receive discharge and the bankruptcy proceedings will be complete.
A Fresh Start:
As soon as your bankruptcy process is rolling, any income or properties that you obtain are untouchable and yours to keep. Once you are discharged and bankruptcy is behind you, your focus can be on rebuilding your finances.
Reasonable Fees for Chapter 7 Bankruptcy Filing in Illinois
The Chapter 7 Attorney at Chang & Carlin, LLP are sensitive to the difficult time you may be facing, and thus we offer many Chapter 7 Bankruptcy services to help you attain a better financial condition.
We can help you determine what your options are and work with you to create a road map toward a debt-free life. Our goal at Chang & Carlin, LLP is to brighten your financial future by providing excellent representation with reasonable fees. Contact us today to Request a Free Chapter 7 Consultation.