In Washington, chapter 7 bankruptcy is an option chosen by consumers who want to sell assets to settle their debts. The process doesn’t require the consumer to do anything other than provide deeds and titles for the assets. The consumer’s disposable income isn’t used to pay off additional debts, and they don’t face any major restrictions. A Bankruptcy Attorney In University Place Wa. provides guidance for all consumers.
Calculating the Value of the Assets
The consumer must have enough assets to sell in order to file chapter 7. The process involves the sale of certain assets to accumulate funds to pay the debts. If the consumer doesn’t have enough assets, it isn’t feasible to file for chapter 7.
Who Determines What Assets are Sold?
The court determines what assets are sold to settle the debts. The claimant must bring all titles and deeds with them when filing. The court reviews the assets and conducts appraisals to determine the exact value of each asset. Typically, the claimant’s primary home and automobile are exempted from the bankruptcy. However, all exemptions are explained by the attorney.
How is the Claim Managed?
The assets are surrendered to the court. A trustee is appointed to manage the liquidation process. All sales are conducted by the trustee, and all proceeds are distributed to the creditors according to bankruptcy laws. Any exempted values are returned to the claimant. The entire process takes up to six months to complete, and the claimant is no longer responsible for any discharged debts.
Can the Consumer Make Any Major Purchases?
Yes, once the claim is filed, the consumer has the right to buy anything they want. All new assets belong to the consumer, and the court cannot seize them for liquidation. The consumer can also start new lines of credit once the claim has been approved and starts.
In Washington, chapter 7 bankruptcy is essentially the liquidation process. The proceedings involve the sale of certain assets to settle debts quickly. The cases last up to six months, and all discharged debts are eliminated. Consumers who need to start a claim contact a Bankruptcy Attorney In Universty Place Wa and schedule an appointment right now.
