What are some of the disadvantages of Chapter 7 bankruptcy?
Chapter 7 bankruptcy can only be filed once within a Congressionally-mandated period of time. If the debtor gets into even worse financial trouble down the road, then he may not be able to obtain relief through Chapter 7 for his new financial problems. Another negative consequence of Chapter 7 bankruptcy is that some or all of the debtor’s assets may be taken away by the bankruptcy court in order to pay off his debts. However, many of the debtor’s essential assets are exempt from being taken away by the bankruptcy court. (Consult with your attorney for details.
