Defending Your Custody Agreement: Protecting Your Education Choices

Defending Your Custody Agreement: Protecting Your Education Choices

2 Things To Keep In Mind When Filing For A Chapter 7 Bankruptcy

by Daryl Young

One of the most useful types of bankruptcy filings that you can utilize is a Chapter 7, since this is the option that is most likely to give you a fresh start on your finances. Listed below are two things to keep in mind when filing for a Chapter 7 bankruptcy.

Provides A Clean Slate

The single biggest benefit to filing for a Chapter 7 bankruptcy is that this option is going to help you get as close to a clean slate on your debts as possible. The reason for this is that most of your debt types will be discharged under this type of bankruptcy, which means that you will not have to pay for any of your debts out of your own pocket—they will simply go away. However, you do need to keep in mind that not every type of debt is able to be discharged under a Chapter 7 filing. 

For example, debts that are a result of legal judgments, owed taxes, or child/spousal support will not be discharged with any type of bankruptcy filing. However, most other types of debt, such as credit cards, mortgages, medical bills, and auto loans can easily be discharged in a Chapter 7 bankruptcy.

Student loans are often considered to be exempt from being discharged in a Chapter 7 filing as well, but this is not always the case. If your attorney can prove that paying your student loans would cause undue hardship for you and your family, such as preventing you from paying essential household expenses to remain fed and sheltered, then he or she may be able to get your student loans discharged in a Chapter 7 bankruptcy. However, this can be quite difficult to prove, so make sure to discuss the issue with your attorney before counting on your student loan debts to disappear when you file.

Does Not Take All Of Your Property

A common fear that many people have when they are considering filing for a Chapter 7 bankruptcy is that someone is going to come to their house and take all of their property in order to repay their creditors. However, while some of your property is eligible to be seized by the bankruptcy trustee, not everything will be taken. For example, if you own multiple vehicles, some of them will be seized, but is very unlikely that all of the vehicles will be seized, as the court will often leave at least one vehicle so that you can continue to go to work and take care of your family.

In addition, most of your household electronics or appliances are exempt from being seized to pay your creditors. Some of the most common items that will be seized will typically include investments, valuable collectibles or artwork, firearms, and your tax return if you are expecting to receive one in the coming year. Also, some money from your bank account will be eligible to be seized, but only the amount that was in the account on the day that you filed for bankruptcy; everything after that is typically yours to keep.

Contact a bankruptcy attorney like Thomas A Blake today to discuss how he or she can help you file and proceed with a Chapter 7 bankruptcy. When filing for a Chapter 7 bankruptcy, it is important to remember that it will often provide a clean slate for your finances and that the bankruptcy process is not going to strip you of all of your assets or property to repay your creditors.


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Defending Your Custody Agreement: Protecting Your Education Choices

When my ex-husband decided to contest my choice to homeschool our children, I knew that I had to defend my right as the custodial parent. Our custody agreement gave me authority over educational decisions, but he still took me to court. I spent a lot of time working with an attorney to find out how best to handle it, and I did a lot of research on the laws as they applied. If you're trying to defend your educational choices amidst your divorce, this site may help. I've built it to share everything I learned and explain the process that I went through to secure my rights.

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