Chapter 7 Bankruptcy Attorney in Yuma
Chapter 7 is the most common form of bankruptcy filed in the country. It is also typically the fastest and least expensive type of bankruptcy to file. At the Law Office of Phil Hineman, P.C., we draw on more than 30 years of experience when advising you on bankruptcy matters. We can help you determine first whether you qualify for Chapter 7 and then how you can successfully navigate the bankruptcy process—often in six months or less.
What Is Chapter 7 Bankruptcy?
Chapter 7 is known as “clean slate” bankruptcy because it allows you to discharge certain types of debt immediately. However, it is also called liquidation bankruptcy, because you may have to sell certain assets to partially repay your creditors before the court discharges your remaining debt.
Fortunately, the law contains many exemptions that allow you to keep a certain amount of property in several categories, such as:
- Homestead — You may exempt up to $150,000 in real property.
- Household furnishings — You may hold furnishings worth up to $6,000 at fair market value.
- Vehicle — You may exempt the equity in one car up to $6,000, or $12,000 if you are physically disabled.
Other exemptions are available for fuel, food, clothing, musical instruments, pets and domesticated animals, engagement and wedding rings, books, technology, and more.
Although Chapter 7 is the quickest way to discharge unsecured debt, such as credit card balances and medical bills, there are certain debts you cannot discharge through bankruptcy, including most tax debt and past-due alimony and child support.
Who Can File Chapter 7 Bankruptcy in Arizona?
To qualify for Chapter 7 bankruptcy in Arizona, you must pass a means test by showing you earn less than the median income in the state for a household of your size. Disabled veterans, however, may be exempt from the means test.
If your income is higher than the median income, you may still qualify, depending on your expenses and disposable income. If you do not qualify for Chapter 7, you may still be able to file under Chapter 13, which involves a repayment plan and subsequent discharge.
What Is the Automatic Stay?
When you file bankruptcy, federal law prohibits creditors and debt collectors from contacting you immediately upon filing. This is known as the automatic stay, and it temporarily halts all collection attempts.
These attempts include:
If you’re experiencing creditor harassment, which involves unlawful debt collection tactics, you don’t need to wait until you file bankruptcy to end it. We can hold creditors and debt collectors accountable for violating your rights as a consumer.
Can You Keep Your Car or House in Chapter 7?
The automatic stay temporarily prevents and pauses foreclosure and repossession, but is Chapter 7 a permanent solution? It may be, depending on your situation. If you can catch up on payments during the Chapter 7 proceeding, you will more than likely be able to keep your home and car. If not, you can still keep certain levels of equity in each property by claiming exemptions.
The Law Office of Phil Hineman, P.C. has been helping both individuals and businesses file Chapter 7 bankruptcy since 1988. We can help you file in a way that protects as much of your property as possible while maximizing your debt discharge. When you contact us, you can benefit from a free initial consultation, flexible payment plans, and appointments after hours and on the weekend.
He aggressively, but tactfully, fought for my voice to be heard in court and he went the extra mile.- David K.
I highly recommend them if you need to file bankruptcy.- Bob R.
Mr. Hineman was very helpful.- Walter R.
If you're in trouble, do not hesitate to call on Mr. Hineman's help.- Kristian H.
If you want a fantastic lawyer, Mr. Hienman is your man.- Belinda G.
Over 30 Years of Legal Experience
Wide Range of Legal Services Available
Results-Driven Legal Strategies
Retired Judge Advocate & Proud Veteran
Compassionate & Responsive Service
Phil Hineman has been providing bankruptcy, family law, and criminal law services for the community for over 25 years. Reach out to discuss your case today.