Chapter 7 Discharge
In the complicated world of bankruptcy, discharge is one option an individual debtor can pursue to protect their assets from collection or seizure.
What Happens If I Get a Chapter 7 discharge?
As an individual debtor, if you are able to obtain a discharge, it will release you from a majority of debts and also inhibits your creditors’ ability to collect on debts owed. In fact, most individual debtors, approximately 99%, can obtain a Chapter 7 discharge, except if the case has been converted or dismissed.
For an individual, the Chapter 7 bankruptcy process is very complex and difficult to understand. Contact the New Orleans bankruptcy lawyers at the Law Offices of the Law Office of David D. Kervin, Jr., LLC at 504-599-5906 to discuss your case and legal options.
Reasons for Denial
There are a number of reasons why your Chapter 7 discharge could be rejected. These include:
- Failure to have or supply sufficient financial documentation
- Failure to sufficiently give account of loss of assets
- Committing perjury
- Disobeying a bankruptcy court order
- Committing fraud
- Failure to finish a financial management instructional course
However, by working with an experienced bankruptcy attorney, you may be able to avoid making a small mistake that could prevent you from being able to file for Chapter 7 bankruptcy.
Can a Creditor Still Secure a Debt After the Granting of a Discharge?
The ability to confiscate property that secures an underlying debt, even following the granting of a discharge, is a possible course of action by secured creditors. If the creditor and debtor agree on a “reaffirmation” that the debtor will continue to pay on the debt, then the creditor can promise not to seize the property under discussion. This reaffirmation must take place before entry of the discharge.
Contact Us
The experienced New Orleans bankruptcy attorneys of the Law Offices of the Law Office of David D. Kervin, Jr., LLC can help you unravel the complexities of your Chapter 7 discharge options. Call 504-599-5906 to discuss your case and possible legal action.