Chapter 7 bankruptcy Basics

Chapter 7 bankruptcy in Arizona is a legal process that allows individuals or businesses to eliminate most unsecured debts, such as credit cards and medical bills. In this process, a court-appointed trustee may sell certain non-exempt assets to pay creditors. Arizona has its own set of exemptions that protect specific property, like a portion of home equity, vehicles, and personal belongings. Chapter 7 is often chosen by those who have average income and cannot repay their debts. Once the bankruptcy is complete, most debts are discharged, giving filers a fresh financial start.