*Chapter 7 Bankruptcy

July 23, 2013

Chapter 7 offers many advantages over Chapter 13:

• faster process – 5 months vs. 5 years
• lower cost
• more complete relief from debts

When I meet with a prospective client, I start my evaluation by by asking “can this person fit into a Chapter 7?”

Did you know that your time in Chapter 7 is an ideal time to negotiate extremely favorable buy outs or payment terms for secured debts?  Because you have the option to surrender secured collateral that may have lost significant value, secured creditors are usually willing to accept pennies on the dollar.

Missouri bankruptcy filers have more protection for their tax refunds now.  Particularly working families have more certainty their financial needs won’t be disrupted when they need to file Chapter 7.