About Chapter 7 Bankruptcy Cases in Nebraska

August 1, 2019 | By Steffens Law Accident Injury Lawyers
About Chapter 7 Bankruptcy Cases in Nebraska

Chapter 7 cases are commonly referred to as straight bankruptcy or liquidation cases and may be filed by an individual, corporation, or a partnership.

What Is a Chapter 7 Bankruptcy?

A Chapter 7 bankruptcy case does not involve the filing of a plan of repayment as in Chapter 13. Instead, the bankruptcy trustee gathers and sells the debtor's nonexempt assets and uses the proceeds of such assets to pay holders of claims (creditors) in accordance with the provisions of the Bankruptcy Code. Part of the debtor's property may be subject to liens and mortgages that pledge the property to other creditors.

The Bankruptcy Code will allow the debtor to keep certain "exempt" property, but a trustee will liquidate the debtor's remaining assets. Accordingly, potential debtors should realize that the filing of a petition under Chapter 7 may result in the loss of property.

How Can Steffen's Law Help Me Get Out of Debt?

Filing for bankruptcy is a difficult decision to make, but Steffens Law Office, P.C. can help. We will answer any questions you may have and help you decide if a Chapter 7 bankruptcy is the right choice for you. Call 308-210-2738 or use the contact form provided on this site to arrange for your initial consultation.