The filing of a Chapter 7 stops all creditor actions. In the event all your assets are exempt or covered by a security agreement, then the court will issue you a discharge and close the case. This entitles you to a fresh start and you may begin to rebuild your credit.
Any person can file who resides in the United States.
The definition of a person includes corporations and partnerships. If the debtor has income or assets then a Chapter 13 may be more appropriate. Individuals that are behind in their mortgage, rent or car payments can utilize it. It permits you to come up with a plan to repay the arrears or back payments on these items over a period of 36 to 60 months. You must have regular income through a job or some other source of income.