Bankruptcy Basics and Chapter 7

Trust Us to Guide You Through the Bankruptcy Process

DAVID W. LLOYD, P.C.  provides extensive support to those considering a step towards financial relief. We have over 20 years of experience helping clients get the support they need through bankruptcy.

With bankruptcy, you (the debtor) ask the judge to grant you a discharge of your dischargeable debt in exchange for your providing all required information for the judge and trustee to evaluate. If you meet the guidelines for income and expenses, you will qualify for Chapter 7 bankruptcy.

If you exceed the median income or you have an asset that's non-exempt and you want to keep it, you would file for Chapter 13 bankruptcy. In some cases, there are assets for the trustee to administer in a Chapter 7 bankruptcy case. For a FREE phone consultation, call (660) 747-3004.

Basics on Chapter 7 Asset Versus No Asset Cases

Most people choose to file Chapter 7 bankruptcy because of the complexity of the Chapter 13 bankruptcy and obligations Chapter 13 holds. Chapter 7 only lasts 3-4 months and involves no monthly payments to the bankruptcy trustee.

We deal mostly with Chapter 7 bankruptcies which means the debtor is insolvent and the trustee or creditors do not receive any money. A common exception is the no-asset rule where people (debtors) receive a large tax refund during the bankruptcy case.

There are also times when the bankruptcy trustee is entitled to take some or all of your tax refund to benefit your creditors. This is usually planned at the beginning of the case.

Bankruptcy Information Sheet

To learn more about bankruptcy, DAVID W. LLOYD, P.C. recommends you review information provided by the US Trustee. The trustee will always ask you if you're familiar with the information sheet at every bankruptcy creditor's meeting.