HOW LONG DOES A CHAPTER 7 BANKRUPTCY CASE TAKE TO RESOLVE IN COLORADO?
Jan. 16, 2015
The duration of Chapter 7 bankruptcy cases in Colorado varies, depending on the specifics of the case, such as the amount of assets that comprise the bankruptcy estate. In general, however, Chapter 7 cases in Colorado last between 3 to 6 months.
Below is a simplified overview of what typically happens during these months, along with some of the things that can complicate these cases by prolonging them past 6 months.
An Overview of the Chapter 7 Bankruptcy Process in Colorado
The Chapter 7 bankruptcy process starts when someone files an official bankruptcy petition with a Colorado court. Before this can be done, however, it’s important to note that a credit counseling course will need to be completed and that the petitioner will have to have proof of passing the mean’s test.
After the Chapter 7 petition has been filed with and accepted by the court:
There will be a meeting with the bankruptcy trustee.
If no complications arise, the discharge process can then be carried out, and this tends to last a few months.
Through this process, petitioners can discharge various debt, including (but not necessarily limited to) credit card debt, payday loan debt, and medical bill debt.
The Exceptions: When Chapter 7 Bankruptcy Cases Can Take Longer
Chapter 7 bankruptcy cases tend to be far more complicated – and, consequently, are more likely to last longer than 6 months – when certain issues or circumstances arise, some of which may include:
Petitioners having more substantial bankruptcy estates – Bigger bankruptcy estates can mean far more assets to inventory, appraise and liquidate. And that can push bankruptcy cases past the 6-month mark.
Creditors objecting to the discharge of certain debts – This may occur when, for instance, a bankruptcy petitioner racked up significant debt within 90 days of filing for bankruptcy. When these objections arise, the case may be put on hold while an investigation ensues
Petitioners being accused of concealing assets or committing other types of bankruptcy fraud – When any allegations of bankruptcy fraud arise, again, the case can be prolonged by an investigation into the fraud allegations.
Contact a Denver Bankruptcy Lawyer at Garcia & Gonzales, P.C.
Are you looking for real relief from serious debt? If so, you can trust the experienced Denver bankruptcy lawyer at Garcia & Gonzales, P.C. to provide you with experienced help and honest answers about your best debt relief options. With more than 50 years of combined legal experience, our trusted lawyers have the legal knowledge, skills and insight you can rely on to help you favorably resolve your debt issues and obtain a financial fresh start.
To learn more about your best debt relief options, as well as how we can help you, contact us today by calling or by emailing us using the contact form at the bottom of this page.
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