FAQs about Assets in a Chapter 7 Bankruptcy
You are required to follow a number of rules and procedures when you file for Chapter 7 bankruptcy. How those rules affect your assets can vary according to different factors. To understand what happens with your assets, it is important to understand what is required of you and how the bankruptcy trustee ensures you follow those rules. Are Your Assets Liquidated? As part of a Chapter 7 bankruptcy, you are required to sale, or liquidate, any of your assets that are not covered by an exemption.