What Any Chapter 7 Bankruptcy Lawyer Milwaukee WI Should Tell You

by | Sep 12, 2012 | Lawyers

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Sometime back, bankruptcy was considered a last resort. You only consulted a Chapter 7 bankruptcy lawyer Milwaukee WI when things were really thick. By this time, you had already been harassed enough by your creditors, your utilities shut off and some of your property auctioned. You really had no choice but to file for bankruptcy.

But times have changed folks. Whereas bankruptcy should not be the first option you run to when you have debt, it does have its place in debt relief. When debtors are relentlessly on your back and as things stand you are in no position to discharge your financial obligations, then you should consider contacting a Chapter 7 bankruptcy lawyer. But before you even make the decision on whether to file for bankruptcy or not, make sure you appreciate the following facts filing for bankruptcy under chapter 7.

According to the United States Bankruptcy Code, bankruptcy proceedings may be filed under different chapters of the code-depending on the type of relief sought. Bankruptcy laws are largely governed by federal laws and hence these laws are largely similar in nature from state to state. Contextually, chapter 7 filing mainly deals with liquidation of the assets of the debtor. The property of the debtor is usually vested in a Bankruptcy Trustee who will then distribute the non-exempt properties of the debtor ‘pari passu’ or through other means as may be sanctioned by the courts. Any Chapter 7 bankruptcy lawyer should tell you on this on your first meetings.

Secondly, you need to know that when you file for bankruptcy under chapter 7, most of your debts will be discharged permanently. These include credit card bills, personal loans from banks, income taxes, utility bills, medical bills, personal debts and many more forms of debts. But there are other debts that cannot be discharged. Debts arising from student loans, child support, liability for personal injury and alimony cannot be eliminated through ‘chapter 7 bankruptcy.’ Your Chapter 7 bankruptcy lawyer should brief you more on this as you assess the most appropriate mode of filing for bankruptcy.

Thirdly, you should know that bankruptcy proceedings take approximately 3 months since filing. But you don’t have to wait for the whole 3 months for you to obtain protection under bankruptcy. Once the proceedings are filed, you can obtain protection from your creditors. They can harass you no more as the matter now becomes a court issue. Sideshows by creditors will usually amount to contempt of court.

Also relating to duration, your Chapter 7 bankruptcy lawyer Milwaukee WI should inform you that your credit will be affected for a period of up to 10 years. You are usually not allowed to file for chapter 7 bankruptcy year in year out. You can only file for it after 8 years have lapsed since you last filed for bankruptcy. So make your decision wisely.


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