When bills starting piling up, and credit card or personal loan balances seem insurmountable, debt can become a source of great anxiety. If you’ve exhausted all other avenues for regaining control of your finances, there are fortunately federal laws that can help. For some, Chapter 7 bankruptcy represents a path to resolving unsecured debt and starting anew.
Chapter 7 bankruptcy—the most commonly filed type of bankruptcy in the U.S.—is ideal for those who don’t hold many assets and have debts that exceed half their annual income. If you qualify, you may be able to have your eligible debts discharged or forgiven. If you think Chapter 7 bankruptcy could be right for you, it’s important to familiarize yourself with what it entails.