Riverside County Bankruptcy Lawyers - Chapter 7 Bankruptcy 

Chapter 7 bankruptcy is referred to as liquidation bankruptcy - that is to say that non-exempt assets are liquidated for the benefit of creditors. However, this does not always happen, as in most Chapter 7 bankruptcies, the individual filing for bankruptcy relief has little or no property which could be sold in order to pay off creditors. This means that in most instances of Chapter 7 bankruptcies, you are allowed to keep your possessions and still have your debt discharged.

However, there are some criteria which much be met before filing for a Chapter 7 bankruptcy. You must prove to the court that you do not have any reasonable means to repay your debts over the next three to five years. Additionally, under the new laws you must have received credit counseling services from a list of supported organizations within 180 days of your intent to file for bankruptcy. The counseling service must give you a certificate that shows you have completed the credit counseling, and you must present any payment plan that was developed during the counseling to the court.

This does not mean that you have to accept the payment plan offered by the credit counseling service. Still, if the plan is reasonable, you may have trouble convincing the judge to grant your Chapter 7 bankruptcy rather than a Chapter 13 bankruptcy. An experienced Riverside County Bankruptcy attorney can help you to decide your next course of action if you are considering a Chapter 7 bankruptcy. Find out about how your assets may be affected, and get the full picture of what Chapter 7 bankruptcy entails by calling our office and arranging for a free initial case evaluation. Our team of expert Riverside County Bankruptcy Attorneys can help you get the information you need in order to make a decision about which type of bankruptcy to file.