Kennewick Chapter 7 Attorneys Serving The Tri-Cities Area

Are you struggling to pay your bills? Maybe you've recently gone through a divorce, lost your job, or faced a medical emergency that's left you financially overwhelmed. We understand how overwhelming debt can be because, for over 30 years, our bankruptcy attorneys have helped people like you get relief.

If your debt is beyond your ability to pay, it is time to consider Chapter 7 bankruptcy. It offers quick relief by wiping out your debts but still allows you to keep essential property like your home and car. Chapter 7 could help you get out of debt and back on track.

We know how financially tough things have gotten in Benton County. As local Kennewick attorneys specializing in bankruptcy, we see the prices going up. It's not just the big expenses like housing and groceries—it's the little things, too. When we head to Howard Amon Park in Richland for a walk along the river, we notice how much the cost of gas has gone up. Grabbing a little nosh after visiting the wineries on Red Mountain feels pricier than it used to. Even catching a Dust Devils game is tougher than before. These rising expenses add up quickly, and they're making it harder for families to enjoy what our beautiful Tri-Cities area has to offer.

Are you ready to take the first step to freedom from debt? Contact us today for a free consultation to discuss how Chapter 7 bankruptcy could help you get the fresh start you deserve.

Chapter 7 bankruptcy or "liquidation bankruptcy" allows you to eliminate most of your debts by selling non-exempt assets to pay creditors. The Chapter 7 process is typically quick, taking about 3-6 months to complete. However, the court will sell certain assets to help repay creditors, though most people can keep their essential property due to exemptions under Washington state law. Chapter 7 is often the right option for those with significant unsecured debt and few assets to protect. If you're considering filing, our Kennewick Chapter 7 bankruptcy attorneys are standing by to guide you through the process.

In Washington, you must meet certain requirements to qualify for Chapter 7 bankruptcy. Here's a quick look at the main qualifications:

• Pass the Means Test: Your income must be below the Washington state median for your household size. Otherwise, the test will look at your disposable income.
• Residency: You must have lived in Washington state for at least 90 days before filing.
• Steady Income: While Chapter 7 is for individuals with limited income, you must still have enough income to meet your basic living expenses.
• No Prior Discharge: You must not have a Chapter 7 discharge on your financial record within the past 8 years. You also cannot have a Chapter 13 discharge within the past 6 years.
• Credit Counseling: You are required to take a credit counseling course before filing.

If you're unsure whether you meet these qualifications or need help understanding the means test, schedule a free consultation with our skilled bankruptcy attorneys in Kennewick. We'll help you determine if you qualify for Chapter 7.

Chapter 7 bankruptcy helps Washingtonians eliminate most of their unsecured debts, meaning debts without collateral backing. The types of unsecured debts that Chapter 7 can discharge include:

• Credit card debt
• Medical bills
• Personal loans
• Unsecured payday loans
• Utility bills
• Old rent balances
• Business debts (if personally guaranteed)
• Deficiency balances on repossessed vehicles or foreclosed homes
• Collection accounts
• Judgment liens (in certain circumstances)

While Chapter 7 can eliminate many types of unsecured debt, it doesn't discharge all debts. For example, obligations like child support, alimony, student loans, and both federal and Washington state tax debts are typically not dischargeable in Washington state under Chapter 7. Additionally, debts incurred through fraud or malicious actions, such as personal injury claims resulting from drunk driving, are generally excluded from discharge. If you have questions about your specific debts, call our Kennewick law offices. We'll be happy to answer any questions you have about Chapter 7 bankruptcy in Washington state.

In Chapter 7, the Benton County Courts will sell some of your property to pay off creditors, but many people are able to keep their Kennewick homes. Washington state has specific exemptions that allow you to protect certain assets. For example, a homestead exemption protects up to $125,000 in equity in your home, which means that if your home's equity (the value of your home minus any mortgage or liens) is less than that amount, you can likely keep your house. However, if your equity exceeds the exemption limit, there is a chance that the bankruptcy trustee could sell the property to pay off creditors. In most cases, though, if you're current on your mortgage payments and your equity is within the exemption limits, you can keep your home.

While filing for Chapter 7 bankruptcy will have an impact on your credit, it will not necessarily "ruin" it permanently. It will stay on your credit report for up to 10 years, and your credit score will drop significantly in the short term, especially if you missed payments or had other negative marks on your credit before filing. However, many people find that after their bankruptcy case is complete, they start to improve their credit rating over time.

Chapter 7 bankruptcy offers the relief you need from mounting debt. If you and your attorney decide this is the best legal debt relief option for you, here is how you will file:

Before filing for bankruptcy in the state of Washington, you have to complete a credit counseling course from an approved provider. You must complete the course within 180 days prior to filing and then submit a certificate of completion to the court along with your bankruptcy petition. You can find approved credit counseling agencies on the U.S. Trustee Program website.

You will need to provide the Benton County Courts financial documents to submit with your bankruptcy petition, including:

• Tax returns for at least the last two years
• Pay stubs or other proof of income for the last 6 months
• A list of all your lenders and creditors, including names, addresses, and amounts owed
• A complete list of assets, including property, bank accounts, and vehicles
• A statement of monthly living expenses

You will need to complete a set of bankruptcy forms, which you can download from the U.S. Bankruptcy Court website. The main documents to file with the Washington state bankruptcy courts are:

• Form B101 Voluntary Petition - officially begins the bankruptcy case
• Form B106, Schedules A-J - provides detailed information about your assets, debts, income, and expenses
• Form B107 Statement of Financial Affairs - summarizes your financial history, including income, expenses, and prior bankruptcies

Once you complete your bankruptcy forms, you'll file them with the U.S. Bankruptcy Court for the Eastern District of Washington state, which handles cases for Benton County. The address for the court is:

• U.S. Bankruptcy Court
• Eastern District of Washington State
• Spokane Division
• 920 W. Riverside Ave, Suite 960
• Spokane, WA 99201
• You can file in person or electronically through the Court's Electronic Case Filing (ECF) system.

In Benton County, the Chapter 7 bankruptcy filing fee is $335, which you pay at the time of filing. If you cannot afford the full fee, you may request to pay in installments or apply for a fee waiver by filing Form B103A, Application to Pay Filing Fee in Installments.

After filing with the Benton County Courts, they schedule a 341 Meeting of Creditors. The meeting usually takes place about 30 days after filing, during which the bankruptcy trustee will ask you detailed questions about your financial situation. Creditors attending the meeting can also ask questions, although they typically do not. You will be under oath, so answer to the best of your ability.

After filing, you must complete a debtor education course, also known as a financial management course. The course will provide information on budgeting and money management. You must complete it within 60 days after the meeting of creditors and then submit a certificate of completion to the Washington state bankruptcy court.

If everything goes smoothly and there are no objections to your bankruptcy case, the court will issue a discharge order about 3-6 months after the meeting of creditors. The discharge officially eliminates your qualifying debts.

While filing Chapter 7 in Washington state is pretty straightforward, you need bankruptcy legal advice to protect your rights and interests.

We can help you get back to enjoying your life in the Tri-Cities. Don't let financial stress hold you back any longer. Call us now for a free consultation with experienced Chapter 7 attorneys in Kennewick, and let us guide you toward a fresh start.