Nearly every Long Island resident likely knows that bankruptcy exists as a form of debt relief. Many people probably fail to consider Chapter 7, however, because of stories they may have heard or their own fears about what the process will look like for themselves and their families. It is important to remember, though, that when you are struggling with crushing debt and severe financial stress, Chapter 7 bankruptcy can be an especially effective way to get a fresh financial start.
Chapter 7 is generally recommended to people who have large amounts of unsecured debt that they are unable to repay. The inability to repay may have resulted from job loss or an illness or disability that results in an inability to work. In these situations, simply arranging a repayment plan or negotiating with creditors may be an insufficient resolution because there is just not enough income to meet all of the financial obligations.
By filing for Chapter 7, consumers are able to easily discharge debts so that they can return to a blank slate. This discharge of debt gives them the opportunity to begin anew, functioning within the income that they currently have. Filing for Chapter 7 also does not mean that you will automatically lose all of your assets. Many filers are able to discharge their debts without forfeiting their possession and assets.
When you are faced with serious financial challenges, you may experience wage garnishments, frozen bank accounts, and creditor harassments, which often make the problems worse and intensify the stress. We can help you understand the process of filing for Chapter 7 and determine if you qualify so that you can begin to regain control of both your finances and your life. Visit our website to see what we may be able to do for you.