If I Make a Good Income, Can I Still Benefit from Chapter 7?

Sam Walker, Chicago, Illinois: Chapter 7

Sam earns $4,100 a month as a retail sales associate. He occasionally receives bonus checks from his employer, but his monthly income is never higher than $4,500 a month. Sam rents an apartment in the Lakeview neighborhood on Chicago's North Side, owns a late-model Toyota, and has a rather large record collection. Sam has a 401k account through his employer with $75,000 in mutual fund assets, but does not own any stocks or other easily liquidated assets outside of his retirement accounts. Sam also has $50,000 in credit card debts.

One of Sam's credit card providers recently filed a lawsuit against him to collect the balance due on his account. Sam is a perfect candidate for a Chapter 7 bankruptcy. He is likely to pass the means test, and his personal possessions are protected by exemptions. Although Sam assigns a lot of value to his collection of obscure vinyl records, a Chapter 7 trustee likely will not. Filing a Chapter 7 bankruptcy will allow Sam to obliterate his credit card debts while keeping all of his belongings. It will also stop the pending lawsuit, preventing his creditor from obtaining a judgment against him and moving on to collection methods like wage garnishment.

Contact Atlas Consumer Law Today

Talk to the leading law firm in the country about your rights for Free! Fill out the form below or give us a call at (312) 313-1613 and we would be happy to give you the answers you need to make informed decisions for yourself and your family.

    • Please enter your First Name.
    • Please enter your Last Name.
    • This isn't a valid phone number.
      Please enter your phone number.
    • This isn't a valid email address.
      Please enter your email address.
    • Please make a selection.
    • Please make a selection.
    • Please enter a message.