Chapter 7 Bankruptcy
Debtler helps you file Chapter 7 which is about liquidation and a faster reset. Debtler does not help with Chapter 13, which focuses on repayment plans.
DIY Bankruptcy, Simplified
Debtler.Makes your forms.
The tool to help you file bankruptcy quickly so you can start building wealth again. Don't feel ashamed - it is your legal right.
Chapter 7 focus • Not legal advice • WA median income $83,033/yr
Debtler keeps you organized
- Guided stepsAnswer questions and Debtler will optimize your bankruptcy forms to file with the court.
- AI helps you decide if a debt that is ambiguous can be discharged or not.AI helps you decide if a debt that is ambiguous can be discharged or not.
- Document prepCollect tax returns, credit reports, and more in one hub.
Top 10 things you should know about bankruptcy
Debtler helps you create and file the forms with the Court with ease. However, the Debtler tool is not legal advice.
Pass the Means Test
Qualifying for Chapter 7 requires your income to fall below your state median or to pass a means test that reviews disposable income. In WA, the state median is $83,033/yr.
Automatic Stay Relief
Filing triggers an automatic stay that temporarily stops collections, foreclosures, and wage garnishments while the case is reviewed.
Protect Exempt Property
Each state shields certain assets—like basic household items, retirement accounts, or vehicles—so know what you can legally keep.
Get Required Documentation
Previous two years of tax returns, a current credit report, and a list of all your debts and assets.
Understand Credit Impact
A bankruptcy filing can remain on your credit report for up to 10 years, but rebuilding starts immediately and you can get a 700+ credit score again in 2-3 years.
Not All Debts Discharge
Student loans, recent taxes, alimony, and child support typically survive bankruptcy. Plan for what remains.
Budget for Filing Costs
Court fees, required education courses, and possible trustee payments need to be budgeted—even if you DIY.
Meet Follow-Up Requirements
Complete the required pre-filing credit counseling and post-filing debtor education to receive a discharge.
Homestead Exemption
If the equity in your house in WA state is $125,000 or less, after deducting for cost to sell, you can keep your home.
401K Disbursements
Count as income for the purposes of determining if your income qualifies to file Ch. 7 bankruptcy.
Let's determine if you can use the State or Federal Exemptions.