Houston Chapter 7 Bankruptcy Lawyers
It’s tough to overcome mounting debt, especially when facing financial hardship. Rather than feeling overwhelmed by creditor calls and the stress of repayment, filing Chapter 7 bankruptcy in Houston might be the solution you need. Chapter 7 offers a clear and manageable way forward for those who qualify, and Keeling Law Firm’s Houston Chapter 7 bankruptcy lawyers are here to handle the process on your behalf.
What Is Chapter 7 Bankruptcy and How Can It Help You File?
Chapter 7 bankruptcy is a form of federal bankruptcy law designed specifically for individuals in financial difficulties who are unable to repay their current debts, credit cards and payday loans. If you reside in Houston or Dallas, filing Chapter 7 bankruptcy with the support of Keeling Law Firm can provide you with a fresh financial start by clearing away dischargeable debts and allowing you to move on with your life.
Every person’s financial situation is unique, which is why it’s essential to consult with experienced Houston Chapter 7 bankruptcy lawyers. At Keeling Law Firm, we will assess your case and determine if Chapter 7 bankruptcy is the ideal path toward financial relief.
Chapter 7 bankruptcy—often called a liquidation or straight bankruptcy—is designed to eliminate dischargeable debts quickly. While state and federal laws allow filers to retain exempt assets, unprotected or nonexempt assets may be surrendered to repay creditors. Debts such as credit card bills, personal loans, rent, utilities, and medical bills are typically dischargeable, while obligations like child support, certain tax liabilities, and most student loans. generally are not.
This type of bankruptcy provides fast relief without requiring drawn-out repayment plans, offering a way to retain critical exempt assets like work tools, personal furnishings, retirement accounts, and more. As such, filing Chapter 7 bankruptcy in Houston allows people to get back on their feet financially, free from overwhelming debt.
Why File for Chapter 7 Bankruptcy?
For many, the term Chapter 7 bankruptcy comes with negative associations, but the reality is it can be a highly effective tool for achieving financial freedom. Consider some of the key benefits of filing Chapter 7 bankruptcy in Houston:
Halts Collection Efforts
Upon filing a Chapter 7 bankruptcy petition, an “automatic stay” goes into effect as a matter of law. As a result, all debt collection efforts must stop. This includes calls, letters, garnishments, and lawsuits. Repossessions, evictions, and foreclosures are also temporarily halted.
Eliminates Certain Debts Permanently
Once your bankruptcy process is completed, you are no longer responsible for making payments on most dischargeable debts. Credit card balances, personal loans, medical bills, and unpaid utility bills are among the debts that most often get discharged. Every case is unique, so consult Houston Chapter 7 bankruptcy lawyers at Keeling Law Firm to understand which of your debts qualify for discharge.
Retain Most Essential Assets
Contrary to common misconceptions, filing Chapter 7 bankruptcy in Houston doesn’t mean losing everything. Critical and exempt assets like personal items, clothing, household furniture, work tools, and retirement accounts are protected. Additionally, many filers can keep their homes and vehicles, provided they stay current on payments and any applicable liens.
Surrender Assets You Can’t Afford
If making payments on assets like a mortgage, car lien, boat lien, or timeshare has become financially impossible, Chapter 7 bankruptcy offers you the ability to surrender such property and have the associated debt discharged.
Protects Future Income
Once you’ve filed for Chapter 7 bankruptcy, creditors are no longer allowed to garnish your future wages or attempt to collect on debts. Your income after filing is yours to keep so that you can rebuild your financial stability.
Preserves Basic Banking and Financing Options
Even after filing Chapter 7 bankruptcy in Houston, you can open bank accounts or apply for lines of credit with time and effort. Bankruptcy allows you to start fresh, rebuild your credit, and establish a savings plan for long-term financial success.
Considerations to Keep in Mind
While filing Chapter 7 bankruptcy in Houston can offer substantial benefits, it is not suitable for everyone. Keeling Law Firm helps clients assess the pros and cons of Chapter 7 to make informed choices.
You May Lose Certain Non-Exempt Assets
Some luxury items or non-retirement investments, such as collectibles or vacation homes, may need to be surrendered. This might sound scary, but it doesn’t have to be. Our experienced Houston Chapter 7 bankruptcy lawyers will work with you to identify all applicable exemptions to minimize potential asset loss.
Certain Debts Can’t Be Discharged
There’s no magic wand when it comes to monies owed. While many debts are dischargeable with a Chapter 7 bankruptcy, others are not. Typical ones are student loans, certain taxes, alimony, child support, and debts arising from fraudulent conduct.
Timing Restrictions Apply
Once you begin the Chapter 7 bankruptcy process, you can’t file again for eight years. It’s important to decide whether it would be a better financial decision to file immediately. With decades of bankruptcy experience, Keeling Law Firm can help you with your decision.
Who’s Eligible to File Chapter 7 Bankruptcy?
Although the form required to file Chapter 7 is readily available online, Chapter 7 isn’t open to everyone. Consumer filers are subject to a “means test” to determine whether the filer qualifies for Chapter 7. The means test is based on income, secured debt, tax obligations, and other federal standards.
To decide whether you’re eligible, the court will dive deep into your finances and determine whether your monthly income is less than the median of a same-sized household in your state. If that’s the case, you can file for Chapter 7 bankruptcy. In most cases, a credit counseling course from an accredited agency is required.
Other qualification requirements may apply, including prior bankruptcy history. For eligibility, you can’t have filed a Chapter 13 bankruptcy during the past six years or a Chapter 7 bankruptcy during the past eight years.
Trusted Houston Chapter 7 Bankruptcy Lawyers
Filing for Chapter 7 bankruptcy is often a last resort, but it can be the lifeline you need to overcome overwhelming debt. At Keeling Law Firm, our trusted Houston Chapter 7 bankruptcy lawyers have helped Texans since 1986 regain financial control by navigating the complexities of bankruptcy filings.
If filing Chapter 7 bankruptcy in Houston is the best solution for your situation, our experienced team will file your case and represent you throughout the process.
For a free consultation and evaluation with one of our expert Houston Chapter 7 bankruptcy lawyers, call us today at 713-686-2222, or fill out the form to get started. Don’t face financial challenges alone—let Keeling Law Firm guide you to a fresh financial start.