Filing for chapter 7 bankruptcy is a great option for many Minnesotans who are struggling to manage their debts. People who earn less than the median income, based on their household size, are permitted to file a chapter 7 bankruptcy case. The beauty of a chapter 7 case is that the debtor (what you call a person who files for bankruptcy) is not required to make payments to their creditors like they do in a chapter 13 repayment plan. The catch is that in some case, the debtor may have to turn over certain property for the trustee to liquidate (sell to convert to cash) in order to pay their creditors.
