Advantages of Filing Chapter 7 Bankruptcy

Filing Chapter 7 bankruptcy can be the most potent option for debt relief. It has the power to get out of poverty and give them a clean slate. It helps to kill all your debts and start a new life free from any debt. But before filing Chapter 7 bankruptcy, you need to know about chapter Bankruptcy and how it’s beneficial for you?

Because it’s a huge step, and before taking this decision, you need to know everything about chapter 7 bankruptcy. It’s a qualified state, so you need to be qualified to go with this option. In this article, we’ve covered everything about chapter 7 bankruptcy and its benefits.

Without wasting a second, let’s Begin!

Chapter 7 Bankruptcy

If you’re struggling financially entirely and don’t have any other way to pay off your Debt, you can consider this option. Chapter 7 Bankruptcy is a petition where you’ll ask the court to erase all your debt and let you start fresh. It’s a straightforward process to clear all your debts.

There are so many benefits of filing chapter 7 bankruptcy, and we’ve discussed some main benefits.

Benefits of Filing Chapter 7 Bankruptcy:

Filing Chapter 7 bankruptcy can help you to protect all your assets like home, car, etc. 

If you’re struggling financially and want to clear all your debts, filing Chapter 7 bankruptcy can be the best option. Here are some benefits:

Benefit #1 Debt Relief

The most significant benefit of filing chapter 7 Bankruptcy, i.e., your all Debt clear, and you’ll be Debt free. If you’re a self-employed, small business owner, and corporation job, you can file chapter 7 bankruptcy. There’s no max limit; by filing chapter 7 bankruptcy, you can clear all your debt for a fresh start. Most permanent debt is clear, like credit card debt, medical bills, personal loans, etc.

Benefit #2 No Collection or Repossessions

You don’t need to worry about debt Collections or Repossessions. Filing Chapter 7 bankruptcy helps you to protect most of the properties. However, it means bankruptcy trustees can’t sell your properties to pay off. 

Benefit #3 Credit Flexibility

It directly impacts your credit score when you’re in bankruptcy, and you’ll lose your score. And after bankruptcy, it’s not easy to get back the credit score, but if you’re taking the right actions and managing your finances after a few years, you’ll get back your credit score. Also, you can raise your credit score if you keep working on your finances and paying due on time.

Benefit #4 Immediate Relief

When you file a chapter 7 bankruptcy case, now you’re protected from creditors. Because you’ll get an automatic stay order, and no one can’t take action on you. It’s a temporary stop on all actions. It is a considerable instant relief after filing chapter 7 bankruptcy. So if you’re struggling and want some time to think clearly and manage your life, then you can fill this case. 

Benefit #5 Improve Access to Credit and Banking

After filing bankruptcy, you’ve more access and new offers to get a credit card so that you can rebuild your credit score. And it helps you to manage your finances.

Benefit #6 No Wage Garnishment

When you’ve under the protection of bankruptcy law, no creditors can claim wage or monthly income from you. And this money helps you to fulfill your needs. 

Benefit #7 Property Exemptions

According to chapter 7, Bankruptcy, you can retain the necessary assets required in day-to-day life after filing this case. 

Are you Eligible for filing chapter 7 Bankruptcy?

If you’re struggling financially and you want to file chapter 7, then you need to pass a “Means Test,” and it’s only for medium-level those who are earning average. But if you’re a high-income person, then you’re not eligible. 

Final Verdict

Finally, we’ve discussed everything about chapter 7, Bankruptcy, and the benefits you’ll get. But you don’t need to take this decision alone; that’s why you can hire a bankruptcy lawyer from Tucson chapter 7 attorneys. Because the proper guidance can help you make this decision more manageable with a practical approach, but make sure you’re hiring a field expert like Chapter 7 Bankruptcy Attorney Tucson, only then you’ll file chapter 7 bankruptcy and get the benefits.