Chapter 7 Bankruptcy

Chapter 7 is the most common form of consumer bankruptcy. For many people it wipes out qualifying debt — credit cards, medical bills, personal loans, and more — in a matter of months, while letting you keep your exempt property.

If old debt is following you everywhere, Chapter 7 may be the clean break you need to get back on your feet.

Is Chapter 7 right for me?

Chapter 7 may be right for you if you can say yes to any of these:



• You’re drowning in credit card debt, or old debt keeps showing up on your credit report.
• You’ve lost your job or don’t have enough income to cover your regular household expenses.
• You’re carrying old tax debts, personal loans, or debt from a business that failed.
• Medical bills and other debts are piling up faster than you can pay them.
  

What Chapter 7 can do for you

• Eliminate most unsecured debts, often within 3–4 months of filing.
• Stop creditor calls, lawsuits, and wage garnishment through the automatic stay.
• Let you keep your “exempt” property — in most cases your home, car, and retirement accounts.*
• Give you a genuine financial fresh start, free of qualifying debt.
  

The means test

Eligibility for Chapter 7 depends in part on the “means test,” which compares your income to the Massachusetts median. Don’t worry about figuring this out yourself — we’ll handle it for you and tell you exactly where you stand at your free consultation.