Did something happen in your life that caused you to fall really behind on your bills and debts? If one of the financial issues you are facing is the possibility of getting evicted from your apartment, you might be wondering if filing for Chapter 7 could help you stop this from happening and offer a fresh start for your debts. This is a great question to ask, and here are some details about how Chapter 7 can help you if you are facing eviction.
The Reason for the Eviction Matters
The first thing to understand is that not every eviction is the same. The one factor that will greatly affect what happens from filing for Chapter 7 is the reason the landlord is evicting you. If it is for non-payment, filing for bankruptcy could offer some relief. If the reason is related to drug use on the premises or for major property damage, Chapter 7 might not help. These are reasons a landlord can use for eviction that could prevent bankruptcy from offering you relief from your eviction.
How Filing Offers Instant Relief
Secondly, it is important to know that while Chapter 7 can provide some relief for you during this time, it might not offer a permanent solution to your problem. However, it might help. When you initially file for Chapter 7, you will find temporary relief through the court-ordered automatic stay. This is a tool offered through bankruptcy that stops almost all forms of collections against the person who filed. It will stop your landlord from proceeding with the eviction process, but it will only offer temporary relief. When the court lifts the automatic stay, the landlord can proceed with the evictions.
Keep in mind, too, that your landlord can fight the automatic stay for the evictions. If the landlord wins this fight, you would likely have to move out of your place relatively quickly.
There is a secondary effect to consider, though, which is that Chapter 7 will allow you to eliminate debts you have. If you can eliminate debts, it could free up your cash, which might give you a chance to save up enough to pay your past-due rent for your apartment. If you can do this, your landlord might not evict you.
If you are facing eviction, filing for Chapter 7 bankruptcy could offer some relief to you. You should discuss your situation with a lawyer to learn more about how this branch of bankruptcy could help you in your current situation.
To learn more about bankruptcy, contact a bankruptcy law firm in your area.