Chapter 7 Consumer Bankruptcy

Posted October 1st, 2009 by BankruptcyLawyer

Will Chapter 7 Bankruptcy in San Antonio Work for Me?

The stress of insurmountable debt can swiftly become overwhelming. If creditors keep harassing and your debt is growing faster than you can pay it back, you may want to consider hiring a San Antonio bankruptcy lawyer.

What is Chapter 7 Bankruptcy?

In Chapter 7 bankruptcy, all of your legally dischargeable debts are wiped out. In exchange you must surrender your “non-exempt” assets and forfeit the proceeds to be split among creditors. Many assets, however, qualify as “exempt.” Exempt assets are protected assets that individuals get to keep. In many cases, individuals who file for Chapter 7 bankruptcy in San Antonio do not end up surrendering assets.

Know Which Assets Are Exempt

Exempt assets are assets individuals get to keep and are not affected by the filing of a bankruptcy in San Antonio. The rules of exemption are complicated. Your exemptions will depend on whether or not you own a home, the duration for which you have owned the home and the length of time you have lived in the State of Texas. In most instances, individuals are able to keep their home, often depending on whether or not they are able to catch up with their mortgage payments to prevent foreclosure.

Why Consumers File for Chapter 7 Bankruptcy?

While bankruptcy laws have changed over the years, the needs of individuals filing for bankruptcy in San Antonio have not. Contrary to the claims of lenders, few bankruptcies result from financial irresponsibility. Almost all bankruptcies are triggered by forces beyond the person’s control, like unexpected medical bills, job layoffs or tough economic times.

Chapter 7 bankruptcy in San Antonio is a good option for consumers who don’t have a large amount of non-exempt assets. If you have many assets, you may want to contemplate filing for Chapter 13 bankruptcy instead. Talk to our local bankruptcy lawyer in San Antonio to find out which option is best for you.

To learn more about bankruptcy in San Antonio, you can schedule an appointment for a free initial consultation with one of the members of our legal team. Just call (210) 807-4252 or contact our offices online.