Filing for Chapter 7 bankruptcy can wipe the debt slate clean, but there are tradeoffs to know before you file.

The Chapter 7 bankruptcy process only starts after you complete a credit counseling course from an approved agency. “The course can be taken online, over the phone, or in person,” Tayne said. 2.

Once the Chapter 7 process is complete and your creditors are satisfied, the remainder of your debt will be discharged. Compared to Chapter 13 bankruptcy, Chapter 7 is quick.

Filing Chapter 7 can offer relief, but it also comes with serious limitations you need to know about first. ... Filing comes with strict limitations, both during and after the process.

The bankruptcy means test determines who can file for debt forgiveness through Chapter 7 bankruptcy. ... "It can be a fairly involved process,” says California bankruptcy attorney Matthew Olson.

It’s a complicated process that’s best taken on with the assistance of an attorney. Chapter 7 and Chapter 13 are the two most common types of bankruptcy for consumers, while Chapter 11 is ...

The Chapter 7 process generally takes three to six months to complete while your nonexempt assets are sold to repay your creditors. Your waiting period begins on your discharge or dismissal date.

Compared to Chapter 13 bankruptcy, Chapter 7 is quick. From first filing to discharge, the process takes just a few months. However, not everyone qualifies for Chapter 7.