Chapter 7

Chapter 7 bankruptcy (also known as "straight bankruptcy" or "liquidation") allows individuals and businesses to discharge most unsecured debt, including medical bills and credit card debt. If you think that it is time to consider bankruptcy, the law office of Ast & Schmidt, P.C., will help you determine if you qualify and take necessary action to achieve debt relief you need.

Contact us today at our Morristown office to schedule a free initial consultation with attorney David Ast. With over 25 years of experience helping men and women throughout northern New Jersey, he is ready and committed to helping you get a financial fresh start.

New Bankruptcy Laws: You Still Have The Right To A Fresh Start!

In Oct. 2005, Congress enacted changes to our nation's bankruptcy laws. Chapter 7 bankruptcy now requires that an individual meets certain income requirements before filing. Individuals whose incomes fall below the state median generally qualify, but even if it is higher than the median, you can still qualify. If you pass what is known as a "means test", where your disposable income minus certain expenses falls below a certain amount, Chapter 7 may be available to you.

Chapter 7 bankruptcy may be right for you if:

  • You have mounting medical bills or credit card debt and are seeking debt discharge
  • You cannot keep up with bills and expenses, and want to eliminate unmanageable debt
  • You want to stop wage garnishment or repossession
  • You want to put an end to creditor harassment
  • You want to protect your home from mortgage problems caused by pressure from your unsecured creditors

How Long Will Chapter 7 Bankruptcy Take?

Chapter 7 takes approximately four months from filing to discharge. As soon as we file your bankruptcy petition, an "automatic stay" is put into effect. This means you get immediate protection from creditor harassment. All collections activity must stop, including calls, letters, lawsuits and wage garnishments.

As with any financial decision, there are a number of issues to consider, and we will make sure you are informed regarding your rights and obligations under Chapter 7, as well as the process of rebuilding your credit down the road.

Know The Law, Know Your Rights

There is a lot of misinformation about Chapter 7 bankruptcy promulgated by the media and credit card companies seeking to prevent filing. Many people who believe that they do not qualify are in fact eligible, given proper legal advice and planning. As your trusted guide and advocate, attorney Ast will provide accurate and reliable legal advice so that you fully understand how bankruptcy applies to your particular situation. By keeping you informed, you will be in the best position to make choices about your financial future.

Contact Ast & Schmidt, P.C., to schedule a free consultation with an experienced bankruptcy lawyer. We offer flexible hours, Monday through Friday, and evening hours are also available by appointment. Our office is conveniently located across the street from the Morris County Mall.

Ast & Schmidt, P.C., is a debt relief agency. We help individuals file for bankruptcy relief under the Bankruptcy Code. The information you obtain at this site is not, nor is it intended to be, legal advice. You should consult an attorney for individual advice regarding your own situation.