Bankruptcy is the kind of solution governed by United States to individuals that are burdened by debts. This constitutional provision is structured to provide an opportunity of taking fresh start in life which is free of financial impairment. These laws are especially crafted for honest and hard working individuals that have been saddled with excessive debts. In order to get relief from the financial burdens the debt ridden individual need to file a bankruptcy petition under chapter 7 or chapter 13 type. These are determined based on your income and liability conditions. Filing of bankruptcy many times helps in getting stay over lawsuits, repossessions of property, foreclosures, forced shut offs, garnishment and other strict debt collection procedures.

The bankruptcy code is divided into the chapters such as 7 and 13 that provide several reforms to the individual depending on particular case. The chapter 7 bankruptcy is termed as straight or simple form where the user could get discharge from certain debts and initiate fresh start.

Filing chapter 7 bankruptcy

This type of bankruptcy generally begins with filing of petition with the court. If you reside in Ohio you can find numerous local Akron bankruptcy attorneys to gather the required documents and file your case. The filing also includes submission of assets or liability schedules, financial affair details, unexpired leases and current income. Your lawyer would also mention the details of debts, total creditors, your expenses, property and source of income. 

Exemptions

The conduct of law provides the individuals to protect valuable property or vehicles from the claims of creditors. There are several properties which could be claimed exempt with the help of Akron bankruptcy lawyers. These exemptions are also available on tax refunds, expensive household goods or furniture, car and pension or retirement plans.

Discharge

The goal of filing a chapter 7 bankruptcy petition is primarily to receive exemptions on property and receive discharge from as many debts as possible. Depending on your case and number of liabilities, the discharge could free you from most of the debts and prevent your possessions to be taken up by creditors for repayment. There are only few debts that could be discharged under chapter 7.  Depending on the expertise of your canton bankruptcy attorney, this chapter provides highest chances of discharge in majority of cases.

The most important benefit of filing chapter 7 bankruptcy is the provision of automatic stay over majority of collection actions initiated by creditors against you. When the stay is active your creditors would not initiate any lawsuit or recovery action which in turn provides relief from harassment.