A Chapter 7 Bankruptcy Attorney in Kansas City assists clients in seeking relief from debt. The lawyer does all that is necessary and required to help clients get out from under what may be overwhelming financial obligations. Sometimes referred to as a “Fresh Start” bankruptcy, the debtor is able to start over without the burden of owing more than they can pay.
Who Can File?
A bankruptcy lawyer will go over the income limitations to who can file a Chapter 7 bankruptcy action. In some cases your income is not taken into consideration when determining what type of case you can file.
To determine eligibility, your average monthly income over the past six months must be determined. If your income is less than the median income for a family of your size, then you are presumed to be eligible to file Chapter 7. But if your income is more than that median amount, you must determine if you pass the “means test.” A Chapter 7 bankruptcy attorney will help you to determine your eligibility.
What Happens After Filing
Simply put, once the bankruptcy has been filed by your Chapter 7 bankruptcy attorney, most creditors and debt collectors are prevented from taking any action to collect a debt from you. This is called the “automatic stay”, or just “stay” by some attorneys. No phone calls. No threatening letters. All communication goes through the attorney from this point on.
Exempt or Not Exempt?
You will not lose everything in a Chapter 7 bankruptcy. The law protects most of your property in Kansas by making it “exempt.” Most Chapter 7 filings are “no asset” cases, and creditors cannot take your property unless they have a lien against it. A Chapter 7 Bankruptcy Attorney will explain this more fully so that you have a clear understanding of all the procedures in your Chapter 7 bankruptcy case.
A Chapter 7 bankruptcy case may require some pre-planning before filing. A bankruptcy attorney in our office will sit down with you and cover how you can convert non-exempt assets into exempt assets within the limits of the bankruptcy law. It is important to be advised correctly so you understand your options.
Discharge of Debt
A Chapter 7 Bankruptcy Discharge covers most types of consumer debt. If a debt is discharged you are no longer legally responsible or required to pay that debt. A Chapter 7 Bankruptcy Attorney will advise you of which types of debt are not forgiven. The following is a list of the types of debt that are presumed dischargeable:
- Credit card debt
- Unpaid medical bills
- Personal and unsecured loans
- Payday loans
In some cases, Chapter 7 might not eliminate all of your debt. The Bankruptcy Code outlines several classes of debt that are presumptively non-dischargeable:
- Income taxes less than 3 years old
- Spousal alimony
- Child Support
- Unpaid governmental fines or penalties
- Student loans
Normally a discharge order in a Chapter 7 bankruptcy comes down about five to six months after filing. Your Chapter 7 bankruptcy attorney will handle everything for you throughout the process, keeping you fully informed.
Filing for Chapter 7 bankruptcy can be complicated and intimidating. A Chapter 7 Bankruptcy Attorney can ensure you are protected from harassment by creditors and will make sure that all requirements for filing are met and handled properly. At Coons & Crump we will explain everything clearly and concisely to make sure our clients have a complete understanding of the process of filing a Chapter 7 bankruptcy.
Coons & Crump, LLC
, provides Kansas City Chapter 7 Bankruptcy attorney services with offices in Topeka, Overland Park and Lawrence and handles cases from 20 surrounding counties. Consult a bankruptcy attorney in this office to talk more about Chapter 7 cases.