This is called the Fresh-Start program because it allows debtors who are unable to pay their debts to cancel their obligation to repay those debts to their creditors once in every eight years. Debts like credit card bills, medical bills, personal loans, payday advances, and debts on repossessed vehicles are automatically discharged. Also, a debtor can pay the fair market value of his/her vehicle to a lender and eliminate any lien on it. For example, say you owe $10,000 and the vehicle is only worth $3000, through chapter 7 bankruptcy, all you need to pay is $3000 to the lender to become the owner of the vehicle free from any debt. Again, some of the liens that have been recorded against your home may be eliminated through chapter 7 bankruptcy.
We have successfully represented over 400 chapter 7 bankruptcy clients.
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