What is Chapter 7 Bankruptcy in Florida?
Bankruptcy is a powerful tool for individuals who have fallen on hard times and are unable to pay their debts. If you are out of work, underemployed or buried under crushing debt, you may be considering bankruptcy. It’s a last resort that will affect your ability to make purchases on credit or get a loan, but it can also give you a fresh start and help you regain financial stability. In other words, filing bankruptcy in the proper manner will actually cause the filer, in time, to have a better credit score and a better chance of getting loans and credit. Hence the term “fresh start.”
A Chapter 7 bankruptcy in Florida legally discharges (wipes out) certain kinds of debt when you are unable to pay those debts due to insufficient income. If you have limited income and don’t have the ability to pay your debts, Chapter 7 may fit your needs. In Chapter 7, the court assigns a trustee to inventory and liquidate your nonexempt Florida property and pay off creditors. There is no payment plan and it can be completed in three to four months. At the end of that time, you will be free of most of your unsecured debt and you will be ready to start over and rebuild your credit.
Debt that is wiped out in Chapter 7 includes:
- Credit cards
- Medical bills
- Utility bills
- Personal loans
- Back rent
Questions You should Ask Yourself
- Have you lost track of how much you owe?
- Do you use credit cards to pay for basic necessities?
- Are you making (or missing) minimum monthly payments on your personal loans and credit cards?
- Are you thinking of pulling from your retirement or 401(k) to stop harassing calls from debt collectors?
If you answered yes to any of these questions, bankruptcy in Tampa Bay may be your best option.
Should I File Bankruptcy In Clearwater, St. Petersburg, Tampa and Bradenton ?
Filing Florida bankruptcy is a stressful experience and not something you should do without considerable thought. Although it its a last resort, you could cause more harm by not taking action when you should. Filing for bankruptcy in Tampa Bay can be exhilarating as you unburden yourself from enormous financial pressure and take the opportunity for a fresh start. Contact Castagliuolo Law, P.A. for help determining whether you should file for Chapter 7 bankruptcy in Florida. If it’s not right for your unique situation, we will tell you.
What are Florida Exemptions in Chapter 7
Exemptions are a critical part of bankruptcy. State and Federal law allow you to keep a certain amount of property after going through Chapter 7 proceedings. When executed properly, you can eliminate most of your debt in less than six months and still keep your primary car and home.
The goal is to help you get back on your feet while still allowing you to provide for your basic needs. Exempt property includes:
- Necessary clothing, household goods and furnishings
- Household appliances
- Your homestead
- A portion of earned, unpaid wages
- Pensions, 401(k), retirement accounts
- Social security income and disability benefits
- Veterans benefits
Yes, in Florida you can usually keep your home in Chapter 7 bankruptcy!
If you have lost your job or struggle to make monthly payments and stay afloat, filing for bankruptcy can help you get the breathing room you need. We can help you inventory your assets and start thinking strategically.
Don’t live with the stress of harassing creditor calls, foreclosure notices and wage garnishments. Contact us today for a FREE Chapter 7 bankruptcy consultation. We can help you maximize your options and take control of your finances, putting you quickly on the road to a “fresh start” and a better life.