Category Archives: Chapter 7 Bankruptcy

What is Chapter 7 bankruptcy? Does Chapter 7 discharge all my debts? Learn more about the benefits of this bankruptcy chapter.

Am I Eligible for Chapter 7 Bankruptcy?

If you are considering Chapter 7 bankruptcy, the first thing you need to know is if you are eligible. You do this through the Chapter 7 bankruptcy means test. The test determines whether your income is low enough to file for Chapter 7. You don’t have to be very low income to take advantage of the benefits of Chapter 7 – if you make high income but also have a lot of expenses, you may still qualify. The Means Test The means test deducts specific monthly expenses from your “current monthly income,” which is determined by your average income over six months prior to filing. This brings you to your disposable income. The lower your disposable income, the more likely you will be able to file for Chapter 7. Step one is to determine whether your current monthly income is less than the median income for a household of your…
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Bridal Giant Alfred Angelo Files for Bankruptcy

Recently, the dressmaker Alfred Angelo announced that it was filing for Chapter 7 bankruptcy, shutting down about 60 stores and leaving independent bridal shops with no information as to whether dresses ordered from Alfred Angelo would arrive in time for summer and fall weddings. Naturally, the uproar has been intense. What is a bride to do when her dress is floating in financial limbo thanks to the dressmaker going out of business? How to Keep Your Cool During the Alfred Angelo Bankruptcy Fiasco First things first: keep in contact with the company. If you have ordered a dress either from Alfred Angelo, contact the bankruptcy representative. That would be Margaret Smith at alfredangelo@mjstrustee.com. Send her details of your wedding date, what you ordered and how much you paid. Also include your order number, the name as it appears on your order and where you made the purchase. The company promised…
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What Are the Possible Benefits of Filing for Chapter 7 Bankruptcy?

Bankruptcy was created to help people navigate financial difficulties by giving them a chance to start from scratch. This start comes with a negative impact to your credit, but this drawback is generally worth it. If you find yourself in the position where you’re considering Chapter 7 bankruptcy, don’t let the possible hit to your credit deter you. There are plenty of benefits of filing for bankruptcy, as well. The Possible Benefits of Bankruptcy An end to phone calls – Being in debt comes with a daily bombardment of calls from creditors. Filing for bankruptcy gives you refuge from these phone calls, because it makes it illegal for creditors to call you with the intent of threatening repossession, foreclosure, or wage garnishment. Pardon for negative account reports – Any credit reports with late payments and high credit balances are typically wiped clean in bankruptcy. Debts go from being reported as…
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