What is Chapter 7 Bankruptcy?

Chapter 7 is a type of bankruptcy that is filed for by consumers that are waist-deep in debt.  Commonly referred to as "liquidation bankruptcy", Chapter 7 is an ideal option for people who are struggling to pay their bills and who have little income to repay the debt they owe to their various creditors.

When people enter into the Chapter 7 bankruptcy process, they may be subjected to a process known as liquidation.  During liquidation, assets that people own such as homes, cars and other types of property are sold for a profit, which is then turned over to people's creditors.  It is important to note that not all people who file for Chapter 7 in Salt Lake City will have to go through the liquidation process.

 After individuals have successfully completed the Chapter 7 process, all of their debts will be discharged and they will be able to start over with a clean slate.  This is the biggest benefit of filing for Chapter 7 versus Chapter 13.

Are you planning to file for Chapter 7 bankruptcy in Utah?  If so, it is a wise idea to speak with a Salt Lake City bankruptcy lawyer from our law office. 

Contact Stone Law Firm today to discuss your bankruptcy proceedings!