Chapter 7 Bankruptcy Attorney in , Missouri
What is Chapter 7 bankruptcy?
What is Chapter 7 bankruptcy?
More In This Category
View Transcript
the chapter 7 bankruptcy is your typical
liquidation type bankruptcy i know that
sounds like a real scary word to a lot
of people because you’re thinking well i
don’t want everything i own liquidated i
don’t want them to come in to my home
and take and sell these things but
really what a liquidation bankruptcy is
the court taking a look and seeing it
what you have that’s not not already
protected by law and seeing if there’s
the ability to use those things to pay
your creditors now thankfully especially
in in kansas and missouri there’s
already laws that protect a lot of what
you own um typically your retirement
accounts protected a lot of times your
vehicle will be protected a lot of times
your your equity and your home can be
protected so really what you’re doing
essentially
is is going through the process of the
liquidation but a lot of times what
happens is you’ll walk out of that case
having not lost anything but been able
to discharge your debts now there is
some
uh inquiry by the court uh as one would
assume and
that is typically not difficult and
that’s why we can walk you through that
process but there’s a lot of disclosure
and things like that in the process of
of going through the liquidation you
just need to open yourself up to the
court and our firm helps you do that um
by opening up yourself to the court what
i really mean is is just showing
your financial life
to the bankruptcy court
and the good news is
is that typically by the time that you
might come see us or by the time that
you provided all the documentation you
really just need to show up and answer
some questions we’ve done the process of
showing the court and telling the story
of of what’s happened that you need to
file bankruptcy the typical situation
for someone needing to file bankruptcy
is really there is no typical situation
the laws are typically the same for
everyone but a lot of different things
will lead someone to come see us um
sometimes someone’s been in a medical
emergency sometimes someone’s gone
through a divorce sometimes someone has
lost a job or lost income in their
household
especially throughout the pandemic we’ve
seen that other times
someone has
had to take on more household expenses
for instance someone might be taking
care of their grandchildren someone
might be caring for an elderly or
disabled
child or parent there’s a lot of things
that can happen to regular people
that can lead them to coming to see us
and needing to file a chapter 7
bankruptcy
Kansas City, KS bankruptcy attorney Hunter Gould explains the process of Chapter 7 bankruptcy. He mentions that Chapter 7 bankruptcy is considered a liquidation bankruptcy, and while the word “liquidation” can sound frightening, it doesn’t mean the court comes into someone’s home and sells everything they own. What it really means is that the court reviews what a person has that isn’t already protected by law and determines whether any of it can be used to pay creditors. Fortunately, in states like Kansas and Missouri, many protections exist. Retirement accounts are usually protected, vehicles are often protected, and in many cases, home equity is protected as well.
Essentially, he says, clients go through the process of liquidation but most often walk away without losing anything—while successfully discharging their debts. The court does conduct an inquiry, as expected, but the process isn’t usually difficult, and his firm walks clients through each step. The process requires full disclosure, which means opening up one’s financial life to the court. His firm helps make that easier by gathering the information and presenting the financial story so that by the time clients appear in court, they usually only need to answer a few questions.
He stresses that there is no single “typical” situation that leads someone to file for bankruptcy. While the laws apply the same way to everyone, the circumstances vary. Some people come in after a medical emergency, a divorce, or the loss of a job or household income. During the pandemic, many faced financial struggles that pushed them toward bankruptcy. Others take on additional household responsibilities, such as caring for grandchildren, an elderly parent, or a disabled family member. He emphasizes that many ordinary, everyday people face these challenges, and Chapter 7 bankruptcy can provide them with the relief they need.
