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Discharging debt with a Chapter 7 bankruptcy filing

Millions of Americans are facing the financial dilemma of overwhelming debt. Tennessee residents are among those who are facing this problem. The elimination of debt can be an elusive goal for many people. Some might explore debt consolidation options. Others might try to plan a budget in order to repay the debts. Others may just "stick their heads in the sand". When a Tennessee resident is facing thousands of dollars of debt, none of the options may seem too appealing.

However, our readers should know that a Chapter 7 bankruptcy filing can be one of the most beneficial options for those who are looking for a fresh financial start. Some people might be scared off by a potential bankruptcy filing because they might think that they will "lose everything". That simply isn't true. A Chapter 7 bankruptcy filing, known as "liquidation" bankruptcy, does consist of marshaling the debtor's non-exempt possessions, selling them off and applying those funds toward debts owed. However, there is a wide variety of items that are considered to be "exempt" from the bankruptcy process - meaning that the person filing for bankruptcy can keep those items.

Personal loans, credit card bills and medical bills are examples of the types of debts that could be discharged through Chapter 7 bankruptcy. But, it is important to realize that some types of debt usually cannot be addressed through a bankruptcy filing, such as student loan debt.

At our law firm, we do our best to make sure that our clients know the difference between bankruptcy myths and facts. For more information about how we might be able to help with your financial situation, please visit the Chapter 7 bankruptcy section of our law firm's website. It is our goal to meet the needs of our clients, helping them navigate the bankruptcy process as smoothly as possible.

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Kenneth C. Rannick, P.C.
4416 Brainerd Road
Chattanooga, TN 37411

Phone: 423-954-7180
Phone: 423-624-4002
Fax: 423-624-0509
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