BANKRUPTCY
CHAPTER 7 & CHAPTER 13
Our attorneys guide clients across the Northern and Middle Districts of Florida toward a fresh financial start. We advocate for you at every step of the bankruptcy process: appearing at hearings, assisting with required filings, and equipping you with clear, practical guidance to make confident financial decisions.
THE BENEFITS OF FILING BANKRUPTCY
STOP WAGE GARNISHMENT
STOP
LAWSUITS
STOP
CREDITOR CALLS
ELIMINATE ELIGABLE DEBT
CHAPTER 7 BANKRUPTCY
What is Chapter 7 Bankruptcy?
For individuals who cannot realistically repay their debts, Chapter 7 bankruptcy offers a path to a clean financial reset, designed to eliminate qualifying unsecured debts.
Filing for Chapter 7 is a significant legal step that requires careful evaluation of your financial position, eligibility, and available exemptions to protect certain assets. When properly executed, the process can discharge most unsecured debts and stop collection efforts.
Most Chapter 7 cases are completed within approximately 90 to 120 days. However, not all debts are dischargeable, and eligibility requirements apply, making early legal guidance essential to protect your rights and maximize relief.
Chapter 7: Eligible vs. Non-Eligible Debts
Chapter 7 bankruptcy offers a powerful path to relief from overwhelming debt. A discharge stops creditors from collecting on eligible debts– ending lawsuits and collection efforts. However, not all debts are dischargeable, so it’s important to understand what qualifies.
Eligible Debts for Discharge Include:
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Medical bills
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Credit card debt
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Payday loans
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Old utility bills
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Personal loans or small business loans
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Taxes (in some instances)
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Vehicle repossession debts
Debts That Can’t Be Discharged Include:
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Most student loans
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Income tax debts or property tax debt
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Alimony and child support
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Debts incurred under false pretenses or actual fraud
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Consumer debts owed to a single creditor exceeding $500 incurred within 90 days before filing for bankruptcy.
What to Expect During the Chapter 7 Bankruptcy Process:
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03
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FILE
TRUSTEE ASSIGNED
341 MEETING
DISCHARGE
Protection Begins Immediately
Your Case Is Reviewed
Simple, One-Time Meeting.
Your Debts Are Eliminated
01
FILING PAPERWORK
We prepare and file your financial documents to give the court a clear picture of your situation. Once filed, an automatic stay immediately stops collections, including garnishments, lawsuits, and creditor calls.
ROLE OF THE TRUSTEE
A bankruptcy trustee is assigned to your case right after filing. The trustee’s job is to oversee the process, which includes examining your assets and communicating with your creditors. We work closely with the trustee to ensure everything goes smoothly and efficiently.
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CREDITORS MEETING
A meeting with your creditors, known as the 341 meeting, will be scheduled. Here, the trustee and creditors can ask questions about your finances. We will prepare you for this meeting and be there to support you.
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DEBT DISCHARGE
Finally, once all steps are completed and there are no objections, the court will discharge your qualifying debts. This usually happens about four to six months after filing. By this point, you should be free from most of your debts and able to start fresh.
* Most Chapter 7 cases are completed in just a few months, with protection starting immediately.
Florida Exemptions & Asset Protection
Florida law provides a defined set of exemptions that may allow you to protect certain assets in a Chapter 7 filing. To use Florida’s exemptions, you must have lived in the state for at least 730 days. If not, the law requires applying the exemption rules from the state where you lived for the majority of the prior 180 days.
Florida’s homestead exemption is among the most protective in the country. Qualified homeowners may be able to exempt unlimited equity in a primary residence, subject to acreage limits of up to 160 acres outside a municipality or 1/2 acre within one.
Additional Protections May Include:
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Personal property (up to $1,000 in value)
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Certain tax refunds and credits
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Qualified savings accounts (health, education, disaster-related)
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Limited partnership interests
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Medically necessary health aids
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Funeral and prepaid burial arrangements
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Motor vehicle equity (up to $1,000)
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Head-of-household wages (up to $750 per week, where applicable)
* Exemption planning is a critical part of any bankruptcy strategy. Proper analysis can significantly impact what you can keep.
Chapter 7 Bankruptcy: Pros & Cons
PROS:
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Quick process, usually lasting only 90 to 120 days from filing to discharge.
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Most cases are “no asset” cases, meaning little or no property liquidation is required (but each case is unique, so consult with a lawyer).
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Florida offers some of the most robust exemptions in the country, allowing you to protect more of your property.
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There is no limit to the amount of debt you can eliminate.
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Filing is relatively low-cost compared to other debt-relief options.
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Unsecured debts such as credit card debt and personal loans can be discharged.
CONS:
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You must pass the means test to be eligible for Chapter 7 bankruptcy.
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Secured debts, such as mortgages and car loans, must be kept current to avoid losing the asset.
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Nonexempt assets may need to be liquidated to pay creditors.
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Not all debts, such as student loans, child support, and alimony, can be discharged.
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A Chapter 7 bankruptcy will stay on your credit report for up to 10 years, although many clients obtain new credit within a few months of receiving their discharge.
CHAPTER 13 BANKRUPTCY
What is Chapter 13 Bankruptcy?
Chapter 13 bankruptcy is a legal option that allows individuals with steady income to repay a portion, or all, of their debt over time, typically through a three- to five-year court-approved plan.
Often called a “wage earner’s bankruptcy,” it’s designed for people who can’t pay everything at once but want to catch up while keeping their property. Instead of liquidating assets like in Chapter 7, Chapter 13 lets you stay in your home, keep your car, and get back on track with missed payments.
Once you file, a repayment plan is created outlining how your debts, like mortgages, car loans, credit cards, and medical bills, will be handled. The plan is reviewed by a trustee and approved by the court, giving you protection from lawsuits, repossession, and aggressive collection efforts while you work toward financial stability.
Chapter 13 Qualifications:
To file for Chapter 13 bankruptcy in Florida, you’ll need a steady source of income and must fall within certain debt limits set by law. Your unsecured debts, like credit cards and medical bills, and secured debts, like mortgages and car loans, must both be under specific thresholds. You’ll also need to be up to date on your tax filings and complete a required credit counseling course before filing.
If you qualify, you can propose a repayment plan based on your income, expenses, and overall debt. Chapter 13 is available to individuals, married couples, and even some small business owners. Working with a Florida bankruptcy attorney can help you determine eligibility and structure a plan that meets legal requirements and sets you up for a more manageable financial path forward.
Key Advantages of Chapter 13 Bankruptcy
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Stop Foreclosure and Catch Up on Your Mortgage
Filing for Chapter 13 can immediately stop a foreclosure. It gives you time to catch up on missed payments through a structured plan, allowing you to keep your home while bringing your loan current.
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Keep Your Home, Car, and Property
Unlike Chapter 7, Chapter 13 allows you to keep your assets. As long as you stay on track with your repayment plan, you can maintain ownership of your home, vehicle, and other important property.
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Simplify and Lower Monthly Payments
Your debts are consolidated into one manageable monthly payment. In many cases, unsecured debts may be reduced, and sometimes discharged, at the end of the plan, giving you a clearer, more manageable financial path.
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Stop Garnishments and Creditor Pressure
Filing triggers an automatic stay, which immediately stops wage garnishments, collection calls, lawsuits, and other creditor actions. It gives you space to reset, stabilize, and move forward with a plan in place.
Chapter 7 vs. Chapter 13 Bankruptcy
Chapter 7 and Chapter 13 bankruptcy are two distinct options, each designed to address different types of financial challenges.
Chapter 7, often called “liquidation bankruptcy,” involves selling nonexempt assets to repay creditors. The process is typically quick, usually 90 to 120 days from filing to discharge, and most cases are “no-asset,” meaning filers are able to keep their property.
Chapter 13, by contrast, is a reorganization that allows individuals to repay debts over a three- to five-year period using their disposable income. It can help you catch up on missed mortgage payments, property taxes, HOA dues, car loans, and child support. In some cases, it may also allow for reduced interest rates on financed vehicles.
Rebuilding Your Financial Future
We emphasize budgeting and thoughtful financial planning to support your long-term stability. Our attorneys continue to guide clients even after bankruptcy, providing the tools and support needed for lasting financial health. Consistent habits and professional guidance can make a meaningful difference in your recovery.
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Rebuilding Credit:
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Monitor Your Credit: Regularly check your credit report for accuracy.
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Use Secured Credit Cards: These can help re-establish creditworthiness.
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Pay Bills on Time: Consistent, on-time payments greatly improve your credit score.
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Budgeting and Financial Planning:
Staying within your budget is crucial. Create a realistic budget to track your income and expenses.
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Financial Stability Tips:
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Save Regularly: Even small savings can add up over time.
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Avoid High-Interest Loans: These can lead to further financial issues.
CONSUMER BANKRUPTCY
Chapter 7 & Chapter 13
Many people assume they need to hire a bankruptcy attorney located in their immediate city or county. In most cases, that isn’t necessary.
Churchill Law Group, PLLC, represents bankruptcy clients throughout a large geographic area, making it possible for individuals and families across multiple regions to access experienced legal guidance without being limited to a local office.
All three offices represent bankruptcy clients exclusively in counties within the Northern and Middle Districts
* All three offices represent debt defense clients throughout the entire state of Florida and in Georgia.
