The Law Office of Sara Gossman

Chapter 7 bankruptcy is commonly referred to as "liquidation bankruptcy".  Although the term liquidation is used, rarely is your personal property sold or liquated in a Chapter 7 bankruptcy filing.

Most people keep everything they own in a Chapter 7 bankruptcy.  Colorado has some of the best exemptions of all of the states.  These exemptions will help you keep most of your personal property. 

Non-exempt assets may be sold by a trustee for the benefit of your creditors.  If you have non-exempt assets, it is important to talk to an attorney before you make any decisions regarding these assets. 

Chapter 7 is the simpler of the two chapters of consumer bankruptcy.  Chapter 7 bankruptcy typically does not involve the repayment of any of your debts.  You are typically on your way to a fresh financial start within 4-6 months.

Chapter 7 bankruptcy is available to individuals, married couples, corporations, LLCs and partnerships. 

Chapter 7 bankruptcy will help you eliminate most of your unsecured debt including credit card debt, medical debt and payday loans.   

However, bankruptcy will not discharge certain types of debts singled out by the federal bankruptcy statutes for special treatment, such as child support, alimony, some student loans, certain court ordered payments, criminal fines and some taxes.

The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 made substantial changes to the U.S. Bankruptcy Code that affected eligibility for consumers to qualify for Chapter 7 bankruptcy.  Consumers must now pass a "Means Test" in order to financially qualify for Chapter 7 relief.  Our attorneys can analyze your current financial situation to determine your eligibility for Chapter 7. 

Please contact us now to set up an initial consultation.   303-301-2650 or sara@saragossmanlaw.com