Your chapter 7 bankruptcy will discharge your debts around 60 days after the 341(a) meeting of creditors. Typically, this means that the court will discharge your debts about four months after you ...

On the other hand, Chapter 13 bankruptcy focuses on reorganizing your debts. This often includes credit card debt, which means some credit card debt may be included in a Chapter 13 repayment plan.

Chapter 7 allows you to discharge your debts by selling non-exempt assets, whereas Chapter 13 discharges debts by creating a repayment plan and paying the debts off over three to five years.

Chapter 7 doesn’t usually provide a discharge for IRS tax debt, student loans or child support arrears. You can lose assets. This may include cash or even your home, in some cases.

“Chapter 7, also known as a ‘straight bankruptcy,’ allows you to discharge certain types of unsecured debt, such as credit card debt and medical bills,” said Daniel Colston, CFP and chief ...

If you’ve used Chapter 7 bankruptcy to discharge debts in the past and need additional time to catch up on debts that weren’t discharged — or need a more manageable repayment plan, filing ...

Bankruptcy can offer meaningful relief when your debt situation feels unmanageable, but it won't erase every kind of debt. Chapter 7 comes closest to clearing all debt, but even it has limits.

You can't file again for a long time. After you receive a Chapter 7 discharge, you must wait eight years before filing another Chapter 7 case with the bankruptcy court. That waiting period applies ...

Key Takeaways. Chapter 7 or Chapter 13 may discharge or reorganize your credit card debt. Some debts may not be cleared in bankruptcy, such as nondischargeable obligations, recent luxury purchases ...

There is no minimum debt requirement to qualify for Chapter 7 bankruptcy, according to U.S. bankruptcy law. In most cases, it doesn’t make sense to file for bankruptcy unless you have a large ...