Top Benefits Of Using Chapter 7 Bankruptcy

About Me
Recovering from a Business Failure

I’ve always admired entrepreneurs. Because of the financial risks they take, I think they are courageous people. Due to my timid nature, I never imagined I’d be one myself. But, after leaving a successful career in accounting a few years ago, I decided to launch my own home based business. So far, I’ve enjoyed success in this amazingly rewarding venture. Sadly, many entrepreneurs don’t experience the same type of success I’ve found. If they operate sole proprietorship or partnerships, their personal assets are often at risk when their business interests fail. On this blog, you will discover how a bankruptcy attorney can help a business owner who can’t pay his or her business debts.


Top Benefits Of Using Chapter 7 Bankruptcy

9 April 2019
 Categories: , Blog

When it comes to debt-relief options, Chapter 7 bankruptcy is one of the best choices you have, if you qualify for it. Through Chapter 7, you can receive a number of great benefits that you will not experience with other forms of debt-relief, and here are four of the top benefits offered through Chapter 7 bankruptcy.

Your creditors will stop harassing you

One of the things that often causes people to evaluate Chapter 7 as a method for debt-relief is creditor harassment. Creditors calling you constantly for money that you do not have can be overly stressful, and the only way you can stop this from happening is by paying off the debts you have. If you file for Chapter 7, the creditor harassment will also end, as the court will order your creditors to stop contacting you. When the court does this, your creditors cannot contact you in any way. If they do, they are breaking the law and could suffer consequences from their actions.

You will instantly receive relief from debts

The second benefit of using Chapter 7 is the instant relief you will receive from your debts. Not only will your creditors stop calling you, but you will also be able to stop paying the debts you owe as soon as you file. There may be bills you must keep paying, such as your mortgage or utility expenses, but you will likely be able to stop paying all your credit card bills and any other types of unsecured debts you owe.

Your case will be closed in less than a year

The speed in which a Chapter 7 case offers is yet another top benefit. In almost all cases, Chapter 7 bankruptcy filings are completely closed within one year of filing. In many cases, it takes much less time than this, though.

Your credit will only suffer for a short time if you take the right steps

The other thing to realize is that filing for Chapter 7 will negatively affect your credit; however, it will only impact it for a short time if you take the right types of steps after filing. The posting will stay on your credit for a decade, but this will not stop you from getting credit lines if you begin working on improving your credit right after you file.

If you need help for the debts you have, talk to a chapter 7 bankruptcy attorney to find out if you qualify for Chapter 7. You can also discuss the benefits it would offer to you if you chose to file.