At Foley Freeman, PLLC, our Boise Chapter 7 bankruptcy attorney has the experience that you can trust when it matters most. We invest time, resources, and attention to detail into each and every case. Many people run into serious financial challenges. Chapter 7 may be the best path for finding a solution for the long term. If you have any questions or concerns about the Chapter 7 bankruptcy process, we are here to help. Non-judgmental guidance and support are available. Contact our Boise bankruptcy lawyer today for a fully confidential, no obligation initial case review. 

What is Chapter 7 Bankruptcy?

A Chapter 7 bankruptcy is a liquidation bankruptcy. The process is designed for people who cannot realistically repay unsecured debts, including things like credit cards, medical bills, or personal loans. A trustee is appointed to gather and sell non-exempt assets. The proceeds (if there are any, which is not always the case) will then be distributed to creditors in an orderly manner. 

Notably, Idaho law allows debtors to protect certain property through state exemptions, including a homestead, one vehicle, and many common household goods. For that reason, most Chapter 7 bankruptcy cases in Boise result in little or no asset liquidation because exemptions protect the bulk of personal property. The process can lead to a true financial fresh start. 

Filing for bankruptcy under the United States Bankruptcy Code gives individuals seek relief from overwhelming debt. The bankruptcy code provides a legal framework that allows people to eliminate most types of debt while protecting certain exemptions. This federal law applies across all states, including Idaho, and gives people a chance at a better financial future.

An Overview of Eligibility Requirements for Chapter 7 in Idaho

Here is a challenge: Not everyone who is struggling financially in Boise or elsewhere in Ada County can file for Chapter 7 bankruptcy protection. The most important requirement is the means test. Here is a general overview of how it works: 

  • Chapter 7 Means Test: The test compares the household income of the bankruptcy filer to the Idaho median for a family of that size. If income is above the median, allowable expenses are deducted to determine whether there is enough disposable income to repay debts. If a person’s income is too high after adjustments are made, they cannot use Chapter 7. 

Note: Chapter 7 bankruptcy filers must complete a credit counseling course from an approved provider within 180 days before filing. 

Experienced bankruptcy lawyers understand that each person’s specific financial circumstances are different. Our law firm works with clients to determine if Chapter 7 is right for them or if another option, like a repayment plan under Chapter 13, might be better. We review your income, assets, and debts to help you understand your options.

Know How the Chapter 7 Bankruptcy Process Works in Idaho

The Chapter 7 bankruptcy process begins with filing a petition, schedules of assets and liabilities, and statements of income and expenses with the United States Bankruptcy Court for the District of Idaho. There is a division of the court in Boise. Once the petition is filed, an automatic stay will be put in place, and it will immediately halt collection efforts, foreclosure, and wage garnishments. 

A trustee is appointed to review documents and hold a meeting of creditors (the “341 meeting”), where the debtor answers questions under oath. If there are non-exempt assets, the trustee liquidates them and distributes proceeds to creditors according to federal priority rules. Most Chapter 7 cases in Idaho last for somewhere between four months and six months. 

Our bankruptcy attorneys have handled numerous clients going through this process. We know the bankruptcy court procedures and can guide you through every step. From stopping harassing phone calls to protecting your primary residence with proper exemptions, our team provides compassionate support throughout your case.

How Our Boise, ID Business Bankruptcy Lawyers Can Help

Chapter 7 bankruptcy cases are complicated. It is normal to feel stressed out, even overwhelmed. At Foley Freeman, PLLC, we put clients first. You can learn more about the firm and reach out to us with specific questions about your financial situation. Among other things, our Boise Chapter 7 bankruptcy lawyers will: 

  • Listen to your story and answer questions about Chapter 7 bankruptcy; 
  • Help you gather and prepare all supporting financial records; 
  • Handle all of the Chapter 7 bankruptcy paperwork; and
  • Develop a personalized strategy focused on getting you the best results. 

Our experienced bankruptcy attorney staff at our Boise office provides comprehensive bankruptcy services for individuals and families. We are problem solvers who focus on your best interests and work toward a fresh financial start. Our legal knowledge of bankruptcy law helps clients understand their rights under the bankruptcy section of federal law.

Understanding Your Options Beyond Chapter 7

While Chapter 7 bankruptcy offers a quick fresh start for many people, it is not always the right choice. Some people benefit from filing Chapter 13 bankruptcy instead. Chapter 13 allows you to keep your assets while paying back some or all of what you owe through a repayment plan over three to five years. This option works well for people who are facing foreclosure on their home or who have income that exceeds Chapter 7 limits.

Our bankruptcy attorneys also help clients with debt reorganization through Chapter 11, which is often used by small businesses. Chapter 11 allows businesses to continue operating while restructuring their debt. The right choice depends on your finances, your goals, and your ability to pay creditors over time.

Bankruptcy lawyers at our firm offer a free consultation to discuss all your options. During your initial consultation, we review your situation and explain which type of bankruptcy might work best. We also handle other legal services related to debt problems, including divorce matters where debt division is an issue.

Getting Started with Your Bankruptcy Case

Filing for bankruptcy starts with gathering information about your debt, income, assets, and expenses. You need to list all creditors, including credit card companies, medical bills, personal loans, and any other amounts you owe. You also need to document your income for the past six months and provide tax returns.

Our team helps you collect this information and prepare the paperwork correctly. Mistakes in bankruptcy paperwork can delay your case or even result in dismissal. An experienced bankruptcy lawyer makes sure everything is filed properly with the bankruptcy court. We also prepare you for the meeting of creditors, so you know what to expect.

The bankruptcy process includes several important deadlines and requirements. You must complete credit counseling before filing and take a debtor education course before receiving your discharge. Our Boise bankruptcy attorney team tracks these requirements and makes sure you complete them on time. We handle communication with the trustee and respond to any questions about your case.

Protecting Your Property and Your Future

One of the biggest concerns people have about filing bankruptcy is whether they will lose their home, car, or other property. Idaho bankruptcy exemptions protect many types of property. The homestead exemption protects up to $175,000 in equity in your primary residence. You can also protect one vehicle, household goods, retirement accounts, and other personal property.

Our bankruptcy lawyers carefully review your assets and apply the right exemptions to protect as much property as possible. In most cases, people who file Chapter 7 bankruptcy in Boise, ID, do not lose any property at all. Understanding exemptions is a key part of bankruptcy law, and our legal services include making sure your property is fully protected under Idaho law.

After your bankruptcy is complete, you get a discharge that eliminates most unsecured debts. This means creditors cannot take legal action to collect those debts. You are no longer legally required to pay creditors for discharged debts. Some debts, like child support, certain taxes, and student loans, typically cannot be discharged. Our team explains which debts will be eliminated and which will remain.

Why Choose Our Law Firm

We are a law firm serving clients throughout Boise, ID, Ada County, Malheur County, and the surrounding area. Our attorneys have years of experience handling bankruptcy cases and understand the local bankruptcy court procedures. We offer personalized attention and work hard to achieve the best outcome for each client.

Our Boise bankruptcy lawyer team knows that filing for bankruptcy is a difficult decision. We provide honest advice about your options and help you understand what to expect. Whether you are dealing with wage garnishments, foreclosure, or simply cannot keep up with debt payments, we can help you find a path forward. We believe everyone deserves a chance at a better financial future.

We offer a full range of bankruptcy services for individuals, families, and small businesses. Our experience includes Chapter 7, Chapter 13, and Chapter 11 bankruptcy, as well as related legal services for debt problems. When you work with our law firm, you get a team that genuinely cares about your financial future and works to protect your rights throughout the bankruptcy process.

Chapter 7 in Boise: Frequently Asked Questions (FAQs) 

Will I lose everything if I file Chapter 7 in Boise?

No, probably not. In fact, Idaho exemptions protect much of your property. The homestead exemption shields up to $175,000 in home equity. Further, other exemptions cover vehicles and household goods. You may not lose any assets at all. 

What debts are wiped out in Chapter 7?

Most unsecured debts, such as credit cards and medical bills, are discharged. Certain debts like child support, student loans, and recent taxes remain. A Boise Chapter 7 bankruptcy lawyer can help you get everything sorted out. 

Do I have to go to court for Chapter 7 in Idaho?

You usually do not appear before a judge. Most debtors only attend the § 341 meeting of creditors run by the trustee. A court hearing is required only if disputes arise.

How long does the Chapter 7 process take?

Most Chapter 7 bankruptcy cases in Idaho are completed within four to six months from filing. The timeline can vary depending on the complexity of your case and whether any issues arise during the process.

Will bankruptcy stop wage garnishments?

Yes. When you file for bankruptcy, an automatic stay goes into effect immediately. This stops wage garnishments, foreclosure proceedings, and other collection actions. Creditors must stop all collection efforts once you file.

Can I file for bankruptcy if I own a business?

Yes. Small businesses and business owners can file for bankruptcy. The type of bankruptcy depends on your situation. Some business owners file personal bankruptcy, while others file business bankruptcy. Our team can explain your options during a free consultation.

Contact Our Boise, ID Chapter 7 Bankruptcy Lawyer Today

At Foley Freeman, PLLC, our Boise personal bankruptcy attorney has the skills and experience to handle Chapter 7 bankruptcy cases. It is our mission to help you find the best path forward. If you have any specific questions or concerns about Chapter 7 bankruptcy, please do not hesitate to contact us today for a completely confidential, no obligation initial appointment. We provide Chapter 7 bankruptcy representation in Boise, Ada County, and all across the region.