Silver Spring Chapter 7 Bankruptcy Lawyer

Bankruptcy Attorney Serving Clients in Silver Spring, MD

If you are struggling with overwhelming debt, Chapter 7 bankruptcy can provide a path to a fresh financial start. By filing for Chapter 7, you can discharge unsecured debts and free yourself from financial obligations that you can no longer manage. At The Law Office of Donald L. Bell, we help clients in Silver Spring, Maryland understand the benefits of Chapter 7 bankruptcy, guide them through the process, and provide the support they need to secure a brighter financial future.

Benefits of Chapter 7 Bankruptcy

While Chapter 7 is often referred to as a "liquidation bankruptcy," because it unsecured debts to be eliminated by liquidating certain non-exempt assets, most people will be able to keep the majority of their essential property due to Maryland's bankruptcy exemptions. Some of the key benefits of filing for Chapter 7 bankruptcy include:

• Debt Discharge: Chapter 7 allows you to discharge a wide range of unsecured debts. Once the discharge is complete, you will not be required to make any additional payments.
• Immediate Relief from Creditors: When you file for Chapter 7 bankruptcy, creditors will be prevented from taking collection actions against you due to an automatic stay. This will provide immediate relief, giving you breathing room as you work through the bankruptcy process.
• Quick Resolution: Chapter 7 bankruptcy typically takes only a few months to complete, making it a faster option for achieving debt relief compared to Chapter 13 bankruptcy. Once the case is resolved, you can move forward with a clean financial slate.
• Protection of Essential Assets: Maryland provides several exemptions that protect essential assets such as your home, vehicle, clothing, and household items. You will most likely be able to keep important property while discharging unsecured debts.

Types of Debts You May Be Able to Discharge

Chapter 7 bankruptcy is highly effective for eliminating certain types of debts. While not all debts are dischargeable, many common financial obligations can be wiped out, allowing you to regain financial stability. Some of the debts that can be discharged through Chapter 7 bankruptcy include:

• Credit Card Debt: High-interest credit card balances are one of the most common forms of debt addressed in Chapter 7 bankruptcy cases. If you are struggling to make minimum payments or are falling behind on credit card bills, Chapter 7 can help you eliminate this debt.
• Medical Bills: Unexpected medical expenses can cause significant financial strain. Chapter 7 bankruptcy allows you to discharge medical debt, providing relief from large hospital bills, doctor fees, and other healthcare-related expenses.
• Personal Loans and Payday Loans: If you have taken out these types of loans and are unable to repay them, you may take steps to eliminate these financial responsibilities.
• Utility Bills: Past-due electricity, gas, or water bills, can be discharged through bankruptcy, preventing service interruptions and giving you a fresh start.

While Chapter 7 can eliminate many types of debts, it is important to understand that certain obligations cannot be discharged. For example, student loans, child support, alimony, and recent tax debts typically cannot be eliminated through Chapter 7 bankruptcy. Our attorney will review your financial situation and advise you on which debts can be discharged and how to address other obligations.

The Chapter 7 Bankruptcy Process

Filing for Chapter 7 bankruptcy involves several important steps, all of which must be completed in compliance with Maryland bankruptcy laws. At The Law Office of Donald L. Bell, we will assist you with every aspect of the bankruptcy process, ensuring that your case is handled efficiently. The key steps involved in a Chapter 7 bankruptcy case will include:

1. Initial Consultation and Means Test

The first step in filing for Chapter 7 bankruptcy is determining whether you qualify. A means test will be used to determine your eligibility, and it will compare your household income to the state median income for the same size household. You will be eligible to file for Chapter 7 if you currently earn less than the median. If your household income is above the median, a more detailed portion of the means test will consider your disposable income to determine whether you qualify. Our attorney will guide you through the means test and help you gather the necessary financial information to determine your eligibility.

2. Filing the Bankruptcy Petition

Once you qualify for Chapter 7, we will prepare and file a petition in bankruptcy court. This document will provide information about your debts, income, assets, and expenses. Filing the petition triggers the automatic stay, which stops creditors from pursuing any collection actions against you. At The Law Office of Donald L. Bell, we will handle the entire filing process, ensuring that all required documents are submitted correctly and on time.

3. Creditors' Meeting

After your bankruptcy petition is filed, you will attend a creditors' meeting (also known as a 341 meeting). During this meeting, the bankruptcy trustee will ask questions about your financial situation and verify the information in your petition. Creditors may also attend, though this is uncommon in most Chapter 7 cases. Our attorney will attend the creditors' meeting with you, ensuring that you are prepared and that the process goes smoothly.

4. Liquidation of Assets

If you have any non-exempt assets, the bankruptcy trustee may seize and sell these assets to repay your creditors. We will help you take full advantage of Maryland's exemptions to protect as much of your property as possible.

5. Discharge of Debts

After the creditors' meeting and any necessary liquidation, the court will issue a discharge order, which will eliminate your eligible debts. At The Law Office of Donald L. Bell, we will ensure that your bankruptcy case proceeds efficiently and that you receive the full benefits of the discharge.

Contact Our Silver Spring, Maryland Chapter 7 Bankruptcy Attorney

If you are struggling with unmanageable debt and are considering Chapter 7 bankruptcy, The Law Office of Donald L. Bell is here to help. Contact us at 301-614-0535 to schedule a free consultation.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.