» Chapter 7 Bankruptcy May Not Always Be the Best Debt Relief Plan

Chapter 7 Bankruptcy May Not Always Be the Best Debt Relief Plan

Des Moines, IA (Law Firm Newswire) November 1, 2012 – Chapter 7 bankruptcy is not always the right solution for a debtor.

Most debtors have a long list of questions when they make an appointment with a bankruptcy lawyer. Filing for bankruptcy is a complicated process, and people are concerned about how the decision will affect them and their credit rating. Making the right call to a qualified Iowa bankruptcy attorney will put many debtors’ fears to rest, says Iowa bankruptcy attorney Kevin Ahrenholz.

Most debtors who have made the decision to seek bankruptcy protection are aware of the enormous impact it will have in their lives, and know that in order to file without errors, they need the help of an experienced bankruptcy attorney. When making that first appointment to discuss filing with a bankruptcy lawyer, questions to ask may include whether or not filing is feasible, how important is a credit report, how to rebuild credit later, and whether declaring bankruptcy will eliminate all outstanding bills.

Not everyone is eligible to file Chapter 7 bankruptcy, Ahrenholz explained. Some debtors may need to file Chapter 13, and others may need to take care of their debt in another manner. Each case, each person and each debt profile is different and is approached that way by an experienced bankruptcy attorney. The only way to know with certainty whether bankruptcy is the best debt relief plan, and what Chapter of bankruptcy to consider filing, is to speak with a qualified bankruptcy lawyer.

Many people also think that when they declare bankruptcy that all of their debts will be erased. In some instances, this does happen. In others, some debt remains. This is another reason why it is vitally important to speak to a competent bankruptcy attorney who will help to determine whether debts are dischargeable. There are instances where some of the debt is ineligible for discharge; non-dischargeable debt includes, but is not limited to, student loans, child support, and back taxes. Criminal fines are also not dischargeable.

If a debtor’s creditors are mainly for student loans, back taxes, and/or child support, then filing for bankruptcy may not be the best debt relief plan, and there may be alternatives to pursue. In order to make an informed decision, schedule a frank discussion with a qualified bankruptcy attorney.

Kevin Ahrenholz is an Iowa bankruptcy lawyer and Iowa bankruptcy attorney. To contact an Iowa bankruptcy attorney, Iowa bankruptcy lawyer, or set up an appointment, visit http://www.iowachapter7.com or call 1.877.888.1766.

Kevin Ahrenholz
309 Court Ave., Suite 805
Des Moines, IA 50309
1.877.888.1766
Offices in Des Moines, Cedar Rapids, Waterloo, Mason City, and Vinton.


  • Consumers in debt need to be aware of a scam that is taking place in this country by offshore criminals in the Far East, perhaps India.  This may be some of the fallout from the disclosure of personal information at Target in recent weeks.  Anyone who used a credit card at Target between certain dates in November and December may be at risk for having their personal information accessed and provided to offshore criminals who perpetrate these scams. One such scam involves someone from the Far East with a thick accent placing a call to a consumer who might be […]
  • Debt May be Added After Bankruptcy is Filed Indicates Iowa Bankruptcy Lawyer
    When a debtor files for personal bankruptcy, it only addresses pre-bankruptcy debts. Some types of post-petition filing debt may be added later. There are two routes to declare personal bankruptcy: Chapter 7 and Chapter 13. Chapter 7 is a liquidation plan that sells your assets to pay creditors and Chapter 13 is a re-payment plan, with money paid to the trustee on a biweekly basis. Those funds are then paid to creditors. Chapter 7 and Chapter 13 cover all debts prior to filing. However, only some types of debt may be filed later. If you have hired a bankruptcy lawyer, […]
  • When the Debt Load is Too Much, Bankruptcy Protection May Be the Best Answer
    It’s always good to pay your debts, if you can keep up with them. But if your debt is simply overwhelming, it may be time to file for bankruptcy. These days the main trigger for someone filing for bankruptcy is that they have lost their job. There are other reasons which may lead to bankruptcy, such as health issues, divorce, death, poor business decisions, a bad economy, foreclosure and following bad advice. No matter what the reasons are that lead someone to file, the process for bankruptcy remains much the same for everyone. The differences lie in the circumstances that […]

See other news sources publishing this article. BETA | Tags: , , , , , , ,



Get headlines from Law Firm Newswire sent right to your inbox.

* indicates required