Chapter 7 is the most common type of bankruptcy and can eliminate most, but not all, of your debts. Some types of debts that cannot be eliminated by a Chapter 7 filing are student loans, governmental fines, parking tickets, child support, some tax debts and secured debts that you wish to keep (most commonly car loans and mortgages).
To qualify for a Chapter 7 Bankruptcy, you must be below the median income for New York State or pass the means test.
In order to file for Chapter 7 bankruptcy, you must complete two classes, Credit Counseling and Personal Financial Management. One must take one prior to filing and one after filing. We will advise you when you should take the course.
You are entitled to certain exemptions when you file for Chapter 7 bankruptcy protection. In other words, there are some things that cannot be taken from you. NY recently amended the bankruptcy laws in January 2011 so that debtors can now apply the federal exemptions, which in most cases are more debtor-friendly than the the NY bankruptcy exemptions.