Savannah Chapter 7 Bankruptcy Attorney

Decades of Experience in Helping People Achieve a Fresh Start

Chapter 7 bankruptcy is an effective process for eliminating what is described as “unsecured debt.” This is debt that is not backed by any physical collateral, such as house or car. It includes such debt as credit card debt, personal loans, medical or dental bills, judgments, liens, and prior lease obligations. Generally, through a Chapter bankruptcy proceeding, this is the type of debt that will be discharged once the process is complete.

If you are facing insurmountable debt, you should learn your available options for solving this frustrating problem. That can easily be done by discussing your financial scene with our Savannah Chapter 7 bankruptcy lawyer at the Law Offices of Mark A. Bandy, PC.

Attorney Bandy has more than 20 years of experience handling all aspects of Chapter 7 as well as other forms of debt relief solutions. He believes in personalized service where you get to know your attorney one-on-one. At our Savannah bankruptcy law firm, you will be treated as the individual person you are with unique financial and family circumstances, obstacles, and goals,

Find out how your excessive debt can be relieved by contacting us at (912) 331-4501 for a free case analysis on Chapter 7 bankruptcy in Savannah, Georgia. You can also contact us by using our online messaging form.

How a Chapter 7 Bankruptcy Works

In a Chapter 7 bankruptcy, unexempt assets may be subject to sale by the trustee to pay your creditors. That said, most assets owned by individuals are exempt and herby protected from such a sale.

The process begins with the filing of your bankruptcy petition, which then kicks in the “automatic stay.” This stay stops your creditors from contacting you in any way to collect on your debts. That means no more harassing phone calls, letters, emails, or texts.

Chapter 7 vs Chapter 13

The automatic stay can stop wage garnishments, repossession, and even foreclosures. However, secured debt on collateral will eventually have to be handled by reaffirming those debts and catching up of payments. Handling your secured debts through a Chapter 13 is often a better way to keep your home, vehicle, or other significant assets.

Qualifying for Chapter 7

Two obstacles may prevent you from a Chapter 7 filing. These are:

• Non-exempt assets
• Income above the state median for a household of your size

In order to file for Chapter 7, you must pass a "Means Test." This test is meant to determine if you truly have no way to repay your debts with your income against your essential expenses.

If your income falls under Georgia's median for a household of your size, you will automatically pass the means test. Otherwise, bankruptcy courts will take into account any regular expenses you have deemed "essential," weighed against your income. Whatever is left over is considered your "disposable" income that could potentially be used to repay debts. If this amount falls under threshold, you can then file for Chapter 7.

What Assets are Exempt from Creditors in Georgia?

Every state has laws that protect the assets that you own from bankruptcy creditors up to a certain dollar value. These protections are called “exemptions.” These exemptions have limits and if you own an asset which exceeds the limit allowed by Georgia law, you could lose that asset or a portion of it in bankruptcy.

Georgia provides exemptions for your:

• Homestead
• Motor vehicle
• Jewelry
• Clothing
• Firearms
• Household goods and furnishings
• Tools of the trade

What is a Wildcard Exemption?

The state of Georgia also has a wildcard exemption that can be used as part of your homestead exemption.

It is important to remember that the values of your assets are reduced by any related debts such as a mortgage or car loan in determining the value or “equity” which you actually own. For example, if you own a car worth $7,000 with a car loan of $4,000, you only own $3,000 worth of “equity” in the car. Georgia provides an individual automobile exemption of up to $5,000. Therefore, the $3,000 worth of “equity” in the car which you actually own is exempted, putting it out of the reach of the Bankruptcy Trustee.

Many people do not own assets with values that exceed these exemptions and, as a result, assets are not lost in a Chapter 7. In order to keep all of your assets, it is important that you work with a knowledgeable bankruptcy attorney who knows the applicable exemptions for your case and can protect your assets.

Understanding the Chapter 7 Bankruptcy Process

Filing for Chapter 7 bankruptcy can be a daunting process, but with the right legal guidance, it can provide a fresh start for individuals struggling with overwhelming debt. Our experienced Savannah Chapter 7 bankruptcy attorney can guide you through each step of the process, from determining your eligibility to filing the necessary paperwork and attending the required court hearings.

Key aspects of the Chapter 7 bankruptcy process include:

• Evaluating your eligibility based on income and financial situation
• Filing the necessary paperwork with the bankruptcy court
• Attending a meeting of creditors to review your case
• Completing a financial management course as required by law
• Receiving a discharge of qualifying debts, providing a fresh financial start

At the Law Offices of Mark A. Bandy, PC, we are committed to providing capable and trusted legal help to guide you through the Chapter 7 bankruptcy process and help you begin your fresh start.