Chapter 7 Bankruptcy is the most common bankruptcy filed by individuals.  This type of bankruptcy is also known as liquidation bankruptcy.  Under state and federal law, you are allowed an exemption in certain items of property, meaning that you get to keep those items.  Items that are typically exempt include your car, household goods and furnishings, retirement plans, EIC tax refunds, and many other items.  An individual filing Chapter 7 Bankruptcy usually does not have any assets to sell to pay their creditors.  These cases where all property is exempt are called "no asset" cases.  In the typical Chapter 7 Bankruptcy it only takes about three months from your meeting with an attorney until your case is done.  At the end of your case you will receive your "discharge."  Your discharge means that your debts are gone and you can start rebuilding your credit.