Under the U.S. Bankruptcy Code, there are two
bankruptcy options for individuals: Chapter
7 and Chapter
13. Both the local rules of each bankruptcy court and the Federal Rules of
Bankruptcy Procedure dictate the process under which individual bankruptcy
petitions are filed. Here are some basic steps you will need to go through.
Meeting with an Attorney
One of the first decisions you will need to make is what chapter you should file under. While a Chapter 7 allows you to discharge
(forgive) your bad debt, a Chapter 13 bankruptcy establishes a repayment plan
through which you slowly re-pay your obligations over time. Your income, types
of debt, and assets will all determine what chapter is best for you and what chapter you are eligible for. An experienced bankruptcy attorney can help you
determine the best course of action for you and your family.
Undergoing Credit Counseling
When you file your bankruptcy, you will need to
undergo special
courses with an agency approved by the Office of the United States
Trustee. The first course (a pre-bankruptcy CREDIT COUNSELING course) must be
taken before you file bankruptcy. Your case is subject to immediate dismissal
if you fail to file a certificate that certifies completion of the class before
your bankruptcy filing. A second course (a FINANCIAL MANAGEMENT course) is
required after you file bankruptcy. If you do not take this second course, the
Bankruptcy Court won’t give you a bankruptcy discharge.
Filing the Necessary Documents
When you file bankruptcy, you will need to prepare complicated forms and schedules that provide the Court with detailed information
regarding:
- monthly budget
- financial history
- current assets
- debts
In addition, when you file Chapter 13 bankruptcy, you will
need to present a detailed repayment plan that addresses how your different
creditors will be paid. Even though there is no official federal form for this
plan, many of the various bankruptcy courts have a specific version they always
require. Your lawyer will know what forms are required and how to prepare them.
Contact Us For Help
To speak with an experienced Milwaukee
bankruptcy attorney, contact Sapinski Law Office S.C. at (888) 782-9423. There are a variety of
ways to relieve debt obligations, and we provide counseling on both bankruptcy
and non-bankruptcy options. We can help end harassing phone calls from
creditors, wage garnishments, the threat of car repossession and home
foreclosure.
No comments:
Post a Comment