“You can think of a chapter 7 bankruptcy as a fresh start with a life not overburdened with unmanageable debt. The chapter 7 was designed just for the individual debtor and is used to discharge certain eligible debts. When the court discharges the debt it means you no longer have any responsibility for the liability. Not all debts can be included in this type of bankruptcy filing, but for many people that don’t have any of the exempted debts, this bankruptcy literally allows them to start with a clean debt slate.
The chapter 7 bankruptcy should be handled by an attorney who is a specialist. Though the chapter 7 filing is one of the less complicated filings in many cases, there are still specific and complex laws governing how the process will be handled. The reason it can be less complicated is only because many people filing a chapter 7 are dealing with the normal types of debt such as mortgages, credit cards and past due taxes. Of course, this doesn’t hold true for everyone, but for many people the chapter 7 filing turns into a fairly simple process.