For individuals and families facing overwhelming debt, Chapter 7 bankruptcy can offer a powerful opportunity for a financial reset. Often referred to as “liquidation bankruptcy,” Chapter 7 allows eligible filers to discharge many unsecured debts and obtain a fresh start. However, determining whether Chapter 7 bankruptcy is the right option requires careful legal analysis and experienced guidance.

At Joshi Law Group, our San Diego bankruptcy attorneys help clients evaluate their options and navigate the Chapter 7 process with confidence and clarity.

What Is Chapter 7 Bankruptcy?

Chapter 7 bankruptcy is designed to eliminate unsecured debts such as:

• Credit card debt
• Medical bills
• Payday loans
• Personal loans
• Certain repossession deficiencies

Once a Chapter 7 case is filed, an automatic stay immediately goes into effect, stopping most collection actions, including lawsuits, wage garnishments, and frozen bank accounts. For many clients, this immediate relief alone provides significant peace of mind.

In many cases, individuals are able to retain essential assets, such as their home and vehicle, provided they remain current on secured loan payments and qualify for applicable exemptions.

How Chapter 7 Bankruptcy Can Help You

Filing Chapter 7 bankruptcy may provide several important benefits, including:

• Discharge of qualifying unsecured debts
• Immediate relief from creditor harassment
• Protection from lawsuits and garnishments
• A faster resolution compared to other bankruptcy chapters

Most Chapter 7 cases are completed within a matter of months, making it an efficient solution for those who qualify.

Debts That Are Not Discharged in Chapter 7

While Chapter 7 bankruptcy is highly effective, it does not eliminate all forms of debt. Certain obligations are generally non-dischargeable, including:

• Most student loans
• Recent income tax debts
• Child support and spousal support
• Criminal fines and restitution

That said, eliminating other unsecured debts through Chapter 7 can free up income to better manage these ongoing obligations. At Joshi Law Group, we help clients develop comprehensive strategies that address both dischargeable and non-dischargeable debts.

Am I Eligible for Chapter 7 Bankruptcy?

Eligibility for Chapter 7 bankruptcy is determined primarily through the means test, which evaluates income and allowable expenses to ensure the filer qualifies under federal guidelines. In addition, individuals must complete approved credit counseling within six months prior to filing.

The requirements and documentation involved can be complex, and mistakes may delay or jeopardize your case. Working with an experienced bankruptcy attorney is essential to ensuring compliance and protecting your rights.

Why Choose Joshi Law Group for Chapter 7 Bankruptcy?

Joshi Law Group is a respected bankruptcy law firm serving clients throughout San Diego and Southern California. Led by Deepalie Milie Joshi, our attorneys bring extensive experience and a results-driven approach to every case.

We provide:

• Thorough case evaluations
• Strategic guidance tailored to your financial situation
• Meticulous preparation of all bankruptcy filings
• Dedicated representation from start to finish

Our goal is not just to file paperwork, but to help clients restart their financial lives with confidence.

Chapter 7 Bankruptcy Attorney in San Diego, California

If you are struggling with debt and wondering whether Chapter 7 bankruptcy is right for you, professional guidance can make all the difference. The team at Joshi Law Group is ready to help you understand your options and move toward meaningful debt relief.