Do I have to pay anything back in a Chapter 7 bankruptcy?

This article, for individuals considering filing a chapter 7 bankruptcy in Suffolk County,
Long Island, was written by Suffolk County bankruptcy lawyer Alan Pressman
Call me at 631-234-3883
Or email me at             

If you are eligible to file a Chapter 7 bankruptcy and you receive a
Chapter 7 discharge - - you are not required to pay anything towards
the debts you have discharged.

Why are individuals allowed to file a Chapter 7 bankruptcy and
discharge their debts?

In 1978 Congress passed the present Bankruptcy Code, and President Carter
signed it into law.  Prior to 1978, bankruptcy in the United States was based
on the Bankruptcy Act of 1898.  The Bankruptcy Act of 1898 was much more
limited than the 1978 Bankruptcy Code in terms of the benefits which were
provided to debtors.  Interestingly, under the 1898 Bankruptcy Act, the
Bankruptcy Judges were called “referees”  (not that Bankruptcy proceedings
under the 1898 Bankruptcy Act resembled professional wrestling matches with
the debtors and creditors going at it in a big melee, but rather because the
filed of Bankruptcy had a lesser status and importance that it now has under
the 1978 Bankruptcy Code).

Chapter 7 of the Bankruptcy Code provides debtors with a fresh start.  The
reasoning behind the fresh start is that Congress determined that people
sometimes get so overwhelmed with debt that they cannot possibly repay--
and, then they become subjected, non-stop, to harassing phone calls,
threatening collection letters, lawsuits, bank account freezes, salary
garnishments, etc. - - at which point being a productive member of society
becomes impossible.

The purpose of Chapter 7 bankruptcy is to relieve debtors from an
unmanageable debt burden and give them a fresh start - - so that they can go
back to being productive members of society - - i.e  having a job (without
having your salary garnished); having a bank account (without having to worry
about it being frozen); buying a house (without having to worry about
creditors putting a lien on it); paying taxes.

In essence, the federal government enacted Chapter 7 of the Bankruptcy Code
so that you can re-start your life - - relieved from the crush of debt.  Since the
1990s, roughly 1.5 million bankruptcy cases have been filed in the United
States every year.  The vast majority of those cases were chapter 7.

So remember that when you file a Chapter 7 bankruptcy, you are not doing
anything wrong.  In a way, filing a Chapter 7 bankruptcy is similar to obtaining
Medicare or Medicaid.  You are merely taking advantage of a federal law that
was passed for your benefit.

This article was written by Suffolk County Bankruptcy Lawyer Alan Pressman

If you would like a free consultation on Chapter 7 bankruptcy with Alan Pressman, call
(631) 234-3883.  I have been actively handling bankruptcy cases on Long Island for
more than 30 years.  My office is located at 3100 Veterans Highway, Bohemia (approx.
2 miles southeast of LIE exit 57).

My fees are very reasonable.  
Evening appointments are available.  
I will handle your case personally.
My law practice is  focused  100% on handling bankruptcy cases.  Bankruptcy is  my
entire law practice.

Call now for a free consultation.
(631) 234-3883  or text me at 631-714-6446

3100 Veterans Highway, Bohemia
Long Island Expressway Exit 57, approx. 2 miles southeast

Thanks for taking the time to visit my website.

Copyright 2011-2017, Alan Pressman, Suffolk County Bankruptcy Lawyer

Alan Pressman, Suffolk County chapter 7 bankruptcy lawyer near Rokonkoma,11779; Hauppauge,11788;
Bohemia,11716; Holbrook,11741; Islandia,11749; Central Islip,11722; Brentwood,11717; Islip, 11751;
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Manorville,11949; Yaphank,11980;  Farmingville,11738; Shirley,11967; Mastic,11950; Mastic Beach,
11951;  Bellport,11713; Center Moriches,11934; etc. --
serving all of Long Island since 1981