What happens in a Chapter 7 bankruptcy filing?
Under Chapter 7, you file a petition asking the court to discharge your debts. The idea is to wipe out your unsecured debts. In most cases, you keep all of your property. Property that is valuable but not necessary for a fresh start can be sold and the money distributed to creditors. Usually, all of your property is exempt from sale. Before you file, you should determine whether any of your property is at risk of sale.
