CHAPTER 7
by NCLC
Chapter 7 is known as “straight” bankruptcy or “liquidation.” The basic idea in a chapter 7 bankruptcy is to wipe out (discharge) your debts in exchange for your giving up property, except for “exempt” property which the law allows you to keep. In most cases, all of your property will be exempt. But property which is not exempt is sold, with the money distributed to creditors.

If you want to keep property like a home or a car and are behind on the mortgage or car loan payments, a chapter 7 case probably will not be the right choice for you. That is because chapter 7 bankruptcy does not eliminate the right of mortgage holders or car loan creditors to take your property to cover your debt.

Kurt O’Keefe, Esq.

OFFICES IN WAYNE, OAKLAND AND MACOMB COUNTIES

Phone:  313-962-4630

Fax:  313-216-2999

email kurt@stopcreditor.com