Chapter 7

Chapter 7 is also referred to as “straight bankruptcy.” Chapter 7 lets you get rid of (“discharge”) debts that are not secured by property (“unsecured debts”) without paying any money to the creditors. Chapter 7 will also let you get rid of debts secured by property (“secured debts”) if you are willing to give up the property to the creditor. A Chapter 7 bankruptcy typically lasts three to four months if no major problems arise.