Even when your debt situation seems dire, there are tools and options in the bankruptcy courts that will allow you to regain a fresh financial start while discharging significant amounts of debt. In situations where the debtor has very little in the way of income or resources, Chapter 7 is often the best option for relief as it allows for your unsecured debts to be wiped clean while retaining a certain amount of exempt property. In cases where all of the filer’s property is exempt from liquidation, it is referred to as a no-asset bankruptcy.
At the Russell Van Beustring P.C., we have decades of experience assisting Texans in taking full advantage of the bankruptcy system to find workable solutions to their debt challenges. To learn more about your rights as a debtor and your legal options for relief, call a Houston Chapter 7 bankruptcy attorney today at 713-973-6650.
Exemptions and Secured Debts
When you file for Chapter 7 bankruptcy, you surrender your non-exempt assets to the bankruptcy estate and a trustee is appointed to sell the assets in order to pay your creditors. Your debts will then be discharged and you will be permitted to keep your exempted property.
In Texas, you are permitted to exempt up to $30,000 in value of possessions, in any combination. If the entirety of your possessions do not exceed $30,000 in value, the trustee will file a no-asset report and your creditors of unsecured loans will receive no payment in the bankruptcy proceeding.
If you are struggling to pay off seemingly insurmountable debts, it is time to look into the options offered by the bankruptcy courts for relief. For a free consultation with an experienced Houston bankruptcy lawyer to discuss your financial situation and options for recovery, call the Russell Van Beustring P.C., today at 713-973-6650.