The main purpose of filing bankruptcy is to free an individual of certain debts. A Chapter 7 bankruptcy doesn’t include a repayment plan but involves selling the debtors non-exempted assets. One of the requirements for Chapter 7 bankruptcy is to prove your income. If you have a higher income than stated by the median income within your state, you will need to file a Chapter 13 bankruptcy instead of Chapter 7.
If possible, spend some time at a bankruptcy court to observe the action of a bankruptcy attorney. This can help you to get an idea of the trial.
Chapter 7 also makes it harder for the debtors to get lawyers who can defend them. Lawyers will now be more difficult to get and also expensive. The reason is the new laws adds more requirements for lawyers who represents the debtors, making the fees for such lawyers to shoot up. Lawyers will have to spend more time calculating the accuracy of the debtor’s means test as is required by the new bankruptcy law. This situation makes it hard and expensive to hire attorneys.
Ideally, it’s better that you will be able to pay your debt or stay out debt that you will find hard to pay. It’s all about hard work and having a plan. You must follow it through and not give up. There is no easy way to getting through your credit problems. It’s just good old fashion hard work. Then once you do that, prepare to wipe away clean each debt one by one until you’re out of the woods. Once you’re out of the woods, stay out! You’ll have a great sense of relief when you know that your debt is gone.