By: Wesley W. Scott
Chapter 7 Bankruptcy is typically referred to as a “fresh start” bankruptcy. It’s referred to as a “fresh start” bankruptcy because it’s like pushing a reset button on your life. In a Chapter 7 Bankruptcy, you don’t make any payments back to your creditors. The credit card debt, medical bills, unsecured loans, past utility bills, back rent, deficiencies on repossessions etc just get wiped out, tax free, forever!
The focus in a Chapter 7 is on your assets. Most people in a Chapter 7 Bankruptcy lose no assets when they file bankruptcy. There are state and federal laws that “exempt” assets from being taken by creditors or chapter 7 trustees.
The vast majority of Chapter 7 debtors lose no assets at all. Most keep their homes, furnishings, vehicles, pensions, clothing, and everything else they own. There are occasions where a debtor may own an asset we cannot protect. There are no surprises when it comes to this — at least there should not be. If you have a non-exempt asset, your lawyer will tell you this up front and discuss options to maximize the protection of your assets.
If you have 100k in credit card debt and you have a non-exempt asset worth 3k, giving up an asset worth 3k to get rid of 97k in debt is a good trade off right? I often tell my clients that do have non exempt assets, we do have to keep a sense of perspective when dealing with non exempt assets too.
The myth is a Chapter 7 is the easy way out right? The myth is you were living the good life and now you want to take the easy way out. Trust me when I tell you, not a single one of my clients has ever felt like this was fun or the “good life”. No, they have been living a nightmare.
To me, the myth is perpetuated by people who are either ignorant, naive, or just enjoy being a bully. If you think bullying ends when you leave school, think again. For some people, they are so insecure that it makes them feel good to say, “well I would never do that” or “I don’t believe in that” or whatever.
Not only would they do it, they do it almost everyday. Listen, life is humbling right? We also say stupid things sometimes. But the bankruptcy myth is a big lie. I have never once met with anyone who enjoyed being here or enjoyed using credit knowing they were going to file a bankruptcy.
In fact, the reality is just the opposite. Minnesotans file Chapter 7 Bankruptcy for one of 5 basic reasons:
1) business failure;
2) income drop;
3) divorce relationship breakup;
4) medical problems;
5) bad financial decisions- we have all made them.
None of these are very interesting- however, they are facts of life and human. Oh, the humility of being alive!
Most Minnesota Bankruptcy Lawyers offer a free consultation. At LifeBack Law Firm we offer a free, no obligation consultation. We offer a variety of ways to meet with us: skype, face time (I-phone), phone, and in person. We have never had a person leave yet who didn’t feel a lot better about the road going forward.
The review and sign appointment is designed where we meet with you to make sure the information on the schedules is true and correct. You meet with our team first and then your lawyer to make sure the information is true and correct.
We never give anyone a pile of worksheets to fill out. We HELP you get your life back by doing most of the work for you.
The 341 meeting is designed to confirm that the information on the petition and schedules is true and correct. It is very unusual for anyone else to appear at this meeting besides the debtor, trustee, and debtor’s lawyer. A typical meeting lasts 7-10 minutes.
About 60 days after your meeting of creditors, you receive your discharge. When you receive your discharge, you are no longer personally liable for these debts- tax free!
Once you get on the other side of this, it is absolutely a beautiful thing. The biggest step is always the first step. If you have any more questions about Filing Chapter 7 Bankruptcy please contact one of our numerous Minnesota locations near you today, we’d be happy to help.
Compare the advantages and disadvantages of bankruptcy.
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- Sue L.
“I went to google to check out some attorney's in the Mpls area and the first office that came up was Kain & Scott. I checked out their website and I was sold on them right away! I was very impressed with what I read about them and the people who worked for them.”
“If you, or somebody you know, is considering filing for bankruptcy, do yourself a favor, don't bother contacting just any law firm. Contact Kain & Scott! They will make you feel more relaxed and less stressed than you've felt in a LONG time! THEY HAVE YOUR BEST INTEREST because THEY CARE ABOUT YOU. Call them or email them. You will NOT be sorry.”
- Justin T.
“Kain & Scott PA is the nicest law firm they don’t judge and have amazing people to answer the phones and be patient with clients like us Megan Rockenbach is such a good listener and very kind on the phone.”
- Ceairra B.
“Everyone in the office is extremely helpful and nice!”
- Miranda M.
“These are very kind and helpful people who take the stigma out of bankruptcy and treated me like I wanted to be treated. They understand good people sometimes have hard times. Wes Scott and his team are so nice! Stephanie Buerger has been a savior and responds to my email or phone call questions the same day. It feels like small town service with big city talent and reputation!”
- John S.
“They live up to their motto of being the friendliest lawyers around. The welcome receptionist comes around to greet you and leads you to a private room furnished with snacks and drinks. There is a massage chair in the room and your name is on a sign welcoming you personally to the private space.”
- Brother S.
“There are no better bankruptcy attorneys in MN - from the initial conversation to working with Veronica on payments, there are no finer people to help you get your life on track. Bankruptcy can be a terrifying thing, but Kain and Scott absolutely have your back.”
- Andrew K.
“After doing a bunch of internet research for Bankruptcy Attorneys, Kain & Scott PA overshadowed all others I had looked at. If you are not sure what to do, which option is best or who to choose, please call Kain & Scott. They will listen to your situation and tell you what your best option would be. Again call Kain & Scott, you will be glad you did! I know I am!!”
- Tammy E.
“I am not one to ever right a review, but with how wonderful Kain & Scott are I just have to let other people know. I would most definitely recommend them to my family, friends, or a colleague who is looking at filing bankruptcy.”
- Jessica A.
“Kain and Scott is the BEST!! Margaret H. helped me out a great deal when I was going through my hardship! I really love the fact that all the staff including Lindsay B. was kind enough to answer some personal questions that I had along the way. I wouldn't choose another company to work with! Thank you everyone who made my journey as a BREEZE! Now I would like to include Stephanie V. Buerger for congratulating me on my journey stepping forward to a debt free life! Stephanie Googins has done a great job providing me with additional information after the bankruptcy proc”ess!
- Gina S.
“I highly recommend this firm as well as recommending bankruptcy! Times have changed and it's not a big deal like it may have once been or how old people talk about it. It's truly a new beginning. This has made my life so much simpler. Exactly what I needed heading into a divorce. I can't thank these guys enough!! ”
- Mandy B.
“The process was so easy, this firm does all of the work for you and really works for you. They are great in responding to any questions you may have. I would recommend this firm to anyone who is struggling with debt. They are also very cost effective, and will work with you for payment arrangements. We couldn't be more satisfied! Debt free finally!”
- Katie B.
“All I can say is wow! From the moment I walked in the door I felt welcome and better right away! Everyone one treated me like me like my story actually mattered! I worked with Misty Myers and she was such an amazing person to work with! She made things so easy and just took charge right away with trying to help! I highly recommend Kain and Scott! I couldn't be happier with how I was treated!”
- Dustin S
“Even from the first conversation I had on the phone regarding their services, I knew I was going to choose them. I made an appointment for the following week and was welcomed with no judgement. The whole process was fast and efficient. I worked personally with Misty, Samantha, and Callie but everyone there was extremely helpful when I had questions. There was little to no paperwork and they did most of the work for me. My only regret was not filing sooner!”
- Megan W.
“The staff at Kain & Scott were amazing! They make you feel very comfortable from the first time you step in the door. Everything is well organized and they respond quickly to any questions you have. Shout out to Wes, Calli, Megan, Sarah, and Lindsey you all were great in helping me get my life back. Keep up the good work!!”
- Toby A.
“I have to say I have had the greatest experience filing bankruptcy with Kain&Scott. Kelsey B Quarburg and Jesse A Horoshak were two of the most professional attorneys I have ever worked with. Jesse showed up at my 341 meeting totally prepared. Other attorneys along with their clients weren't. Jesse and I weren’t called up first, so I had the privilege of seeing how this meeting would work. The first two clients and attorneys weren’t prepared at all, they were told by the federal trustees,that they were missing paperwork and information. It took these two clients and attorneys 20 minutes each to get through the process. Jesse had 1 client he was representing before me. The process was flawless, 5 minutes and the process was complete. My meeting took 5 minutes. It proved to me choosing the best law firm matters. Kelsey B Quarburg is the best. She was very professional yet she was also human. She would respond to my emails at odd times of the day and night. She kept me informed every step of the way. Thank you both. Thank you Callie for making sure my paperwork was forwarded and up to date. What a team. Thank you all so much for a job well done ,and I mean this from the bottom of my heart. Once again thank you all,for giving my life back. GOD BLESS YOU ALL ”
- Maurice W.
“Stellar customer service and you have the “how can I help you” staff! You made my future easier to handle and I have so much more confidence especially with your staff behind me. I appreciate all your help and time you spend helping me address my credit. ”
- Nancy N.
“I am very fortunate to have found Kain & Scott. They made my experience fast, friendly and trustworthy. Thank you to Megan R. for being flexible with payment arrangements and really understanding what other people may be going through and how to do what is best for them. 😊 Thank you to Stephanie Buerger as well,for being very welcoming and easy to work with during my initial info gathering. Thank you gals for making my experience a low stress to the point “filer friendly” experience. ”
- Scott K.