What makes Chapter 7 different from Chapter 13?
Unlike chapter 13, filing for bankruptcy under chapter 7 assets are liquidated and turned into cash to pay creditors. Chapter 13 allows for monthly payments, while Chapter 7 results in one bulk payment to creditors performed by a trustee.

What is debt discharge?
A debt discharge is the release of the debtor’s responsibility toward the debtor’s owed debts.

When will my debt discharge occur?
The court usually grants the discharge promptly on expiration of the time fixed for filing a complaint objecting to discharge and the time fixed for filing a motion to dismiss the case for substantial abuse (60 days following the first date set for the 341 meeting). Typically, this occurs about four months after the date the debtor files the petition with the clerk of the bankruptcy court.

Who can file for chapter 7?
In order to qualify for relief under chapter 7 of the Bankruptcy Code, the debtor must be an individual, a partnership, or a corporation. An individual cannot file under chapter 7 or any other chapter, however, if during the preceding 180 days a prior bankruptcy petition was dismissed due to the debtor's willful failure to appear before the court or comply with orders of the court or the debtor voluntarily dismissed the previous case after creditors sought relief from the bankruptcy court to recover property upon which they hold liens. 11 U.S.C. §§ 109(g), 362(d) and (e).

What is a chapter 7 trustee?
A chapter 7 trustee is an impartial trustee appointed by the courts to oversee the disbursements of liquidated funds to creditors.

Will I get to keep my assets?
No. Unless deemed exempt, assets such as a home, car or boat will be sold (or liquidated) into cash to pay creditors.

What is the court-filing fee?
The court fee for filing chapter 7 bankruptcy is $299.00.