Helping Resolve Your Debt Problems

The current economic climate has led to significant financial hardships for many consumers. At Tuzinski & Zick, L.L.C. we understand the mounting pressures and challenges you may be facing. Our goal is to provide a safe and compassionate environment where you can get the help you need. Filing Chapter 7 bankruptcy can give you the fresh start you need to move on with your life.

Who is eligible for Chapter 7 bankruptcy?

Chapter 7 bankruptcy is designed for individuals who cannot pay their current debts. If your income is below the median in Minnesota, you are automatically eligible for Chapter 7. If your income exceeds the median, further mathematical calculations regarding how much you are able to pay over the next several years will determine whether or not you are eligible to file a Chapter 7. In a Chapter 7, the debtor is required to liquidate their assets in exchange for the elimination of their debts. You will be able to keep certain property that qualifies for an exemption. Minnesota exemptions include:

  • Homestead property subject to a $390,000 limit or $975,000 if the property is used for agricultural purposes
  • Insurance
  • Pensions
  • Personal property up to a specified dollar amount
  • Public benefits
  • Tools of the trade
  • Wages

All of these exemptions are subject to specific limitations. You may also be able to use certain federal exemptions. Only an experienced bankruptcy attorney can give you sound legal advice and guide you through the bankruptcy process.

Will all of my debts be discharged if I file for bankruptcy?

Chapter 7 bankruptcy wipes out a significant portion of your unpaid debts. There are, however, certain non-dischargeable debts including:

  • Child support, alimony, fines and certain taxes
  • Debts not listed in your bankruptcy petition
  • Any money you received as a result of fraud or a willful and malicious intent to harm
  • Student loans, unless payment would result in an undue hardship
  • Mortgages and other liens, unless the property is sold by your creditor

What does the Chapter 7 bankruptcy process involve in Minnesota?

Under Minnesota law, all individual debtors are required to undergo credit counseling at least 6 months before filing for bankruptcy. After you file for bankruptcy, you will be required to complete a financial management instructional course. The 2005 Bankruptcy Act Means Test will assess your income and expenses to verify that you are eligible to file under Chapter 7. You must then itemize your current income, expenses, assets and major financial transactions. You should also gather recent tax returns to assist you in completing your bankruptcy paperwork. A qualified attorney can help you gather the necessary information and determine applicable exemptions. At Tuzinski & Zick, L.L.C. we pride ourselves on keeping up with current changes in the law in order to provide the best possible representation for our clients.

Contact a respected and trusted bankruptcy law firm in Brooklyn Park

Trust us at Tuzinski & Zick, L.L.C. to go the extra mile for you. We offer free 30-minute consultations to discuss your case. Our office is conveniently located north of Route 694 and there is ample parking available for your convenience. Contact us online or call us at 763-515-8046.