Credit Card Debt: Which Chapter of Bankruptcy Would That Fall Under If I File?

Chapter 7 is the main bankruptcy filing option for those debtors who want to try to wipe out the majority of their debts instead of entering into a long-term repayment plan with their creditors. One of the largest categories of debts that are discharged in Chapter 7 bankruptcy orders is credit card debt. Many other types of debts are also dischargeable in Chapter 7 bankruptcy, but they must have been due before you filed your bankruptcy petition. 

Chapter 7 bankruptcy requires that the debtor start by filing a petition with the court that lists their debts and creditors. The filing of the bankruptcy petition automatically stays all collection efforts for any debts owed by the debtor. After the Chapter 7 bankruptcy petition is analyzed by a trustee, a meeting is scheduled for the creditors to give them a chance to object to the discharge and exemptions sought by the debtor. Unless there are significant and complicated challenges raised by the creditors, a meeting is usually very straightforward. 

Once the meeting concludes, a debtor can expect to receive final notice of a discharge of eligible debts in about 60 days. There are some debts, such as student loans, tax obligations, spousal support, child support and restitution payments that can never be discharged in any form of personal bankruptcy. It is important to have a clear understanding of the debt that you may still have to pay even if you receive a final discharge order. A knowledgeable bankruptcy attorney in Virginia can explain the details of the process and what debt obligations you will still be responsible for. 

Working with Experienced Henrico Virginia Debt Lawyers to File for Bankruptcy
Contact the seasoned Henrico Virginia debt lawyers at Canfield Wells LLP to discuss what options may be available to you in filing for bankruptcy. They can answer any of your bankruptcy questions and will advise you on which debts you may be able to have discharged in a final order. Call the bankruptcy legal team at Canfield Wells LLP today at (804) 458-9813 to discuss your potential bankruptcy filing.