Chapter 7 Bankruptcy
Resolving your financial issues
The Law Office of Mitchell E. Pippin, P.C. provides debt relief solutions for clients in the Central Indiana area. Mitch can assist you in filing Chapter 7 bankruptcy (also known as liquidation bankruptcy) which allows consumers to discharge unsecured debts.
Under Chapter 7 bankruptcy, you can discharge debts that are not secured by collateral, such as credit card debt, personal loans, medical bills, and other unsecured debts. Depending on your wishes, secured debts can be discharged or can be kept if you want to retain your collateral, such as your house or vehicle. Once the bankruptcy petition is filed, collection activity must stop, including any repossession or foreclosure action.
There are some unsecured debts that are not dischargeable when you file bankruptcy. For example, student loans, income taxes for the past three years, debts that resulted from false financial statements, and fiduciary taxes cannot be discharged. In addition, certain obligations and actions are not discharged in the bankruptcy process, such as payments required for child support, alimony, personal injury caused under the influence of alcohol or drugs, or criminal restitution.
The court assigns a trustee for bankruptcy cases to liquidate assets that are not exempt and use the money to distribute to creditors. The exemptions for Chapter 7 bankruptcy are set by state law and individuals can keep most, if not all, property. Indiana has exemptions for the family residence, personal property, intangible property, retirement plan interest, and health aids.
In most cases, the court will discharge unsecured debt, as allowed under bankruptcy law. However, the court may deny the discharge for failure to keep financial records, destroying or hiding assets, or not complying with an order from the bankruptcy court. If you are looking for a bankruptcy attorney in the Indianapolis, Anderson or Muncie area, please contact our office at Indianapolis office at 317-842-8090 or our Muncie office at 765-282-0282.