When it comes to filing for bankruptcy, it’s not surprising to find that people don’t get excited about this time in their lives. Filing for Chapter 7 in St. Louis, MO, as in any other state, feels like a defeat. Filing for bankruptcy is proof that someone couldn’t handle his or her finances properly. While it may be a difficult pill to swallow, Chapter 7 bankruptcy may be the only option for some. Fortunately, there is light at the end of the tunnel, even if the early stages of filing for bankruptcy seem a bit bleak.
When people find themselves in a situation in which filing for Chapter 7 is the only option, it’s important to understand what the end result of a bankruptcy procedure will be. This is important because it helps people put things into perspective. Chapter 7 is relegated to people who meet a certain income criteria. Typically, people on the lower end of the income scale qualify for this type of bankruptcy.
In this type of bankruptcy, most debts are effectively wiped out by the courts. In some cases, all accumulated debt can be removed. There are some instances in which discretionary income or assets may need to be sold to repay a portion of what the debtor owes to creditors. However, there is some misinformation about what discretionary income or assets will be required to be turned over to the courts.
Before a person thinks their home or cars are going to be sold, there’s no need to panic. Under Chapter 7 in St. Louis, MO, these types of assets will never be on the table as assets that can be sold to repay creditors.
While the process can be complicated, there are some benefits. A person has the ability to rebuild his or her credit after a bankruptcy has been discharged. In addition, during the bankruptcy process, creditors are no longer allowed to contact an individual. If a person has been dealing with harassing calls from creditors day and night, during the bankruptcy process, this ceases.
Coming to terms with bankruptcy can be difficult, but there are benefits to the process. To understand the process better, visiting a website like Website.com can be helpful. The information provided by these bankruptcy attorneys can help you better understand the process and determine if filing for Chapter 7 bankruptcy is right for you. Visit the site for more details about filing chapter 7 in St. Louis, MO.
