Pre-Filing

• Before you can file your Chapter 7 petition, you must attend certified credit counseling. Each of the four Texas bankruptcy district courts maintains a list of approved credit counselors. This course must be completed 180 days prior to filing. Chapter 7 debtors must also pass a means test. The means test compares your median income to the median income for your household size. As of 2010, a single earner is allowed a median income of $38,801 to qualify for Chapter 7, according to the U.S. Trustee Program.
  
  

Filing

• Your Chapter 7 case begins when you and/or your attorney files your bankruptcy petition. In Texas, bankruptcy cases are heard in the Eastern, Western, Northern and Southern district courts. Within 14 days of filing, you are required to submit to the court a complete list of your debts and assets as well as a statement of financial affairs.
  
  

Meeting of Creditors

• Within 20 to 40 days of filing your initial petition, you are required to attend a meeting of creditors, also known as a 341 meeting. This meeting is presided over by the bankruptcy trustee, who is responsible for overseeing the disposition of your case. During the meeting, the trustee will ask you questions about your debts, income, assets and overall financial situation. Your creditors may attend but they are not required to do so. At this time, the trustee may also collect any nonexempt assets you may have. These assets will be liquidated and distributed to your creditors prior to the discharge.
  
  

Financial Management

• In addition to credit counseling, Chapter 7 debtors are also required to complete a course in financial management. In Texas, this must be done within 45 days of the meeting of creditors. Failure to attend the financial management course will result in a discharge of your case.
  
  

Discharge

• If no new issues are raised at the meeting of creditors, your Chapter 7 case will proceed for discharge. In Texas, this typically occurs approximately 3 months after the meeting of creditors. Prior to receiving your discharge, you are required to reaffirm any debts you wish to keep following the bankruptcy, such as a car loan. Once you receive your discharge, your Chapter 7 filing will remain on your credit for up to 10 years.