A Chapter 7 bankruptcy filing brings with it enormous benefits. It can provide you and your family a fresh financial start. However, the process is complex and mistakes in filing a petition can prove costly. Failing to list potential debtors could limit your amount of debt relief. The submission of an incorrect or faulty petition could result in denial of your entire claim.

For this reason, it is vital to have skilled legal representation on your side. The attorneys at The Sexton Law Firm routinely file Chapter 7 petitions on behalf of clients in Knoxville and throughout eastern Tennessee. We understand the process. We also know what bankruptcy trustees are looking for before approving a petition.

The Ability To Eliminate Debt Through A Chapter 7 Filing

Chapter 7 bankruptcy can put a stop to a wide variety of creditor activities including wage garnishment and asset seizures. It can also allow you to eliminate a significant amount of debt, including:

  • Medical expenses
  • Specific state and federal taxes
  • Credit card debt and other unsecured debt
  • A wide variety of consumer debt

However, such debt will remain in place if not listed correctly on the bankruptcy petition. In other words, not preparing the petition properly may defeat the entire purpose of filing for bankruptcy to begin with.

It is also not possible to discharge all debt. For example, you cannot discharge child support obligations, student loans and relatively recent federal tax debt.

A seasoned bankruptcy lawyer can help you understand the types of debt you can discharge. They can make certain to prepare a petition that will receive approval from the bankruptcy court. And the representation they provide in Chapter 7 hearings is invaluable. Having represented clients many times in bankruptcy courts allows for them to anticipate and respond to any objections that a bankruptcy trustee may raise.

Exemptions That Allow For You To Protect Your Assets During A Chapter 7 Filing

When you file for bankruptcy, a trustee has the power to liquidate or sell your nonexempt assets as payment to creditors. However, there are certain assets that are exempt that the trustee cannot sell. It is important that you protect as much in assets as you can from a bankruptcy liquidation sale.

A knowledgeable bankruptcy attorney can apprise you of all your options and let you know what exemptions are available. They will know how to list exemptions on a petition and make certain that such assets remain out of reach of the trustee.

For answers to all of your bankruptcy questions, contact our law office by calling 865-691-7900.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.