Chapter 7 Bankruptcy Attorney in New Orleans
When unsecured debt, collection activity, or financial pressure becomes unmanageable, Chapter 7 may provide a lawful path toward relief. Bickham Law helps individuals evaluate eligibility, protect available exemptions, prepare accurate disclosures, and navigate the federal bankruptcy process with direct attorney guidance.
A fresh start begins with a careful review.
Chapter 7 is a federal liquidation process that can discharge many qualifying debts, but it is not the right solution for every person or every financial problem.
Eligibility and strategy depend on income, household circumstances, property, prior filings, recent transfers, secured obligations, and the nature of each debt. Some property may be protected through applicable exemptions; nonexempt property may be administered by a Chapter 7 trustee. A complete review before filing can identify risks, alternatives, and the documentation needed for accurate schedules and statements.
Bickham Law represents clients in the U.S. Bankruptcy Court for the Eastern District of Louisiana and provides individualized advice based on the client’s actual financial circumstances—not a one-size-fits-all filing. For broader information about available chapters and financial reorganization, review the firm’s New Orleans bankruptcy attorney services.
Problems Chapter 7 may address
Credit-card and medical debt
Many unsecured obligations may be eligible for discharge, subject to the facts and applicable exceptions.
Collection lawsuits
Filing generally triggers an automatic stay that can pause many collection actions, although exceptions apply.
Wage garnishment
The automatic stay may stop or suspend many garnishments after a case is filed and notice is provided.
Creditor calls
Most creditors must stop collection communications while the automatic stay remains effective.
Personal guarantees
An individual business owner may need advice about liability arising from guarantees and business obligations.
Financial reset
A discharge can eliminate personal liability for qualifying debts and create room to rebuild.
Preparation matters at every stage.
Bankruptcy requires complete and truthful disclosure. Records should be preserved, questions should be answered carefully, and property or money should not be transferred in an attempt to place it beyond the reach of creditors or a trustee.
Financial assessment
Review income, expenses, assets, debts, lawsuits, transfers, and prior bankruptcy history.
Eligibility and exemption analysis
Evaluate the means test and identify the Louisiana and other applicable protections that may affect property.
Credit counseling and documents
Complete the required pre-filing course and gather tax returns, pay information, account statements, titles, and other records.
Petition and automatic stay
File the required schedules and statements. The automatic stay generally begins upon filing, subject to statutory exceptions and limitations.
Meeting of creditors
Attend the required meeting and answer the trustee’s questions under oath about the filing and financial affairs.
Financial management and discharge
Complete the required debtor-education course and, if eligible and no successful objection is filed, receive a discharge of qualifying debts.
Chapter 7 and Chapter 13 serve different goals.
Chapter 7 may be considered when:
- Income and other circumstances satisfy the applicable eligibility requirements.
- Most problem debts are unsecured.
- There is limited nonexempt property at risk.
- A repayment plan is not necessary to accomplish the client’s primary goals.
Chapter 13 may be considered when:
- A client needs time to address mortgage or vehicle arrears.
- Income or property considerations make Chapter 7 unsuitable.
- A structured repayment plan better protects important assets.
- Other strategic or eligibility considerations favor reorganization.
Questions New Orleans clients often ask
Will Chapter 7 eliminate every debt?
No. Certain obligations may not be dischargeable, including many support obligations, some taxes, most government-backed student loans, criminal fines, and debts falling within other statutory exceptions. The result depends on the debt and the facts.
Can I keep my home or vehicle?
That depends on equity, applicable exemptions, payment status, liens, and other circumstances. A discharge generally does not eliminate a valid lien. These issues should be evaluated before filing.
What is the Chapter 7 means test?
The means test is a statutory calculation used in many consumer cases to assess whether a Chapter 7 filing is presumed abusive. Income above the applicable median does not automatically end the analysis, and not every case is treated the same way.
How long does a typical case take?
Many uncomplicated Chapter 7 cases proceed to discharge within several months, but timing varies based on the court, trustee, disclosures, objections, assets, and other case-specific issues.
Should I stop paying every creditor before filing?
Not without individualized advice. Secured debts, support obligations, utilities, leases, insurance, and other payments may require different treatment. A filing strategy should account for the consequences of each decision.
Talk with a New Orleans Chapter 7 attorney.
Ralph Bickham has practiced in Louisiana since 2006 and is admitted to the U.S. Court of Appeals for the Fifth Circuit and the U.S. District Courts for the Eastern, Middle, and Western Districts of Louisiana. Contact Bickham Law to discuss your financial circumstances and available options.
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