Filing For Chapter 7 Bankruptcy in Cape Cod, Massachusetts

What is a Chapter 7 Bankruptcy? A Chapter 7 bankruptcy, also known as a liquidation, is a way that you can get out from under the debts that are realistically un-payable. Many persons who have either lost a job or suffered some other crisis that has caused a loss in income for a moderate amount of time will find themselves in the following situations; Credit card companies have increased their rates and have added late fees and penalties, Mortgage companies are demanding immediate payment of past due amounts along with additional interest and penalties with the threat of foreclosure in the event you are unable to become current, Medical bills that are not covered by insurance, and seem to keep piling up. Regardless of how you got into the situation, there is help for you to get back the peace of mind you are entitled to. Contact us now, so we can get you back on track, safeguarding your assets and your future.

The Chapter 7 Bankruptcy Process:

The process begins with a free consultation, in which our office will assess your current situation to determine if Bankruptcy is the right solution to your problem. In addition to Bankruptcy relief, we may want to consider a settlement agreement with a creditor, a home loan modification or other action that can bring a quick resolution to your financial problem. Although bankruptcy may be your best bet, this is not to say that you can not also seek a home loan modification during your bankruptcy case. Although available for years, the Home Loan Modification Project has been successful in only a very modest number of cases. Let our years of experience in dealing with the banking industry go to work for you to ensure that you are given a fair opportunity for saving your home from foreclosure.

If it is determined that bankruptcy is right for you, and a Chapter 7 is the best option that you decide to pursue, the next step is gathering of your financial information. Our office will give go over a questionnaire that you will take home, along with a checklist of documents that will be needed in order to file a successful bankruptcy case under Chapter 7. We will also discuss our fee and have you sign a fee agreement along with certain disclosures that are required to be executed in a bankruptcy proceeding. In the event you are unable to pay the fee all at once, we will work with you to establish a flexible payment plan. Once our attorneys have reviewed the documentation, we will prepare the necessary documents to be filed with the United States Bankruptcy Court. Once complete, we will meet to go over the paperwork to ensure that we have accurately listed all of your information. You will then sign the documents and the case will be filed with the court.

Once filed, a date will be given for you to attend a Meeting of Creditors, or 341 Hearing. At this hearing you and one of our attorneys will go before the Chapter 7 Trustee to answer questions relative to your case. For the most part, creditors do not show up at the meetings and you will simply have to affirm that all of the documentation that you filed is accurate. Although all of the Trustees are different in their methods, some basic questions that you are most likely to hear are; “Have you listed all of your creditors, is this an accurate list of all of your property, have you been involved in a lawsuit or proceeding recently in which you are expected to receive a sum of money”. Once the Trustee is satisfied that his questions are answered, the meeting is over. Most Chapter 7 Meeting of Creditors last only a few minutes, depending on the complexity of your case. After the meeting, creditors have a period of time to object to any exemptions you may have claimed in property. Provided there is no property that is not exempt to distribute, a discharge of your debts will be granted in around 2 months after the completion of the 341 Hearing. In most cases, the process takes around 4 months from filing to a granting of a discharge. Contact us now, so we can get you back on track, safeguarding your assets and your future.

What is Exempt Property?

One of the most commonly misunderstood concepts in a bankruptcy case is that of exempt property. Put simply, this is the property that you keep after your bankruptcy. When you file a bankruptcy case, part of our work is to determine what property, if any is available to the trustee to sell at an auction to then reimburse the creditors from whom you are seeking a discharge. Although it could be argued that the bankruptcy law was changed in the favor of creditors in 2005, most persons are able to keep most if not all of their property. For example, the court gives you, the debtor, in certain instances the right to keep up to $11.525.00 worth of household property if you file by yourself, and up to $23,050 if a husband and wife file together. Now although you could probably not purchase all of your household items new for that amount, the calculations you make are based on what you could get for the property if you sold it today. If you were to look on Ebay, or Craigslist and see what other persons have been able to get for selling their property, then that is the value you assign to similar property of your own. It is not an exact science, but as long as you are fair and accurate, a trustee is not going to question the values you assign to items. For most persons, that couch that may have cost you $3000.00 when you bought it 5 years ago, is probably now worth a couple of hundred dollars at best. In then end, most persons are able to keep their property. Any items that you may believe are of value, we will have them appraised to determine their value and then we can discuss what we can do to safeguard the asset. Contact us now, so we can get you back on track, safeguarding your assets and your future.

What is the Automatic Stay?

Probably one of the best effects of filing Bankruptcy is that once the paperwork is filed, an automatic stay prevents any and all creditors from taking any action against you. What this means to you, no more harassing phone calls, no more letters from creditors, collection agencies or any other person to whom you owe a debt. With certain exceptions, for debts that are not dischargeable in bankruptcy, once you file, you will not hear from them again. Contact us now, so we can get you back on track, safeguarding your assets and your future.

We are bankruptcy lawyers covering Southeast Massachusetts Counties of Plymouth, Bristol and Barnstable including Cape Cod and the islands of Martha’s Vineyard and Nantucket, including the following towns and villages: AQUINNAH, BARNSTABLE, BREWSTER, BOURNE, CHATHAM, CHILMARK, DENNIS, EASTHAM, EDGARTOWN, FALMOUTH, HARWICH, HYANNIS, MASHPEE, NANTUCKET, OAK BLUFFS, ORLEANS, PLYMOUTH, PROVINCETOWN, SANDWICH, TISBURY, TRURO, VINEYARD HAVEN, WELLFLEET, WEST TISBURY, YARMOUTH.

DISCLAIMER: The information in this website is not legal advice, nor intended to be a substitute for legal advice. You should consult a bankruptcy attorney for individual and personal advice regarding the specific circumstances and facts of your case. No attorney-client relationship has been created between you and Common Law Associates LLP and no legal advice has been rendered by your use of this site. We are a debt relief agency and assist persons in the filing of bankruptcy under the Federal Bankruptcy Code. All information in this site may be considered advertising under the rule of the Supreme Judicial Court of Massachusetts”