Have you recently been put out of a job because your company is downsizing and eliminating positions? Are you facing a wall of debt that you are unable to conquer? Is your financial situation something that makes you feel vulnerable and uncertain? If you are not able to pay off your debts or even make minimum payments you might be to the point to begin considering options for your financial future. It is possible to want to be able to pay your debt but unable to. According to many bankruptcy attorneys that specialize in only bankruptcy law your future is not hopeless.
You may qualify to pay off your debts filing for bankruptcy under Chapter 7 bankruptcy law. Interested in hearing more? Before getting into the details surrounding filing for bankruptcy you should know exactly what bankruptcy does for you and how it will affect your financial future.
It is important to realize that bankruptcy involves a legal procedure that states a person is failing to meet their established debt obligations. They file an agreement in bankruptcy court that agrees to help the individual seeking to pay off their debt. With chapter 7 bankruptcy an attorney will help you file necessary paperwork to begin the process of selling assets off to pay debtors back. If property and assets of value are not owned individuals will have nothing to repay debtors and debt relief will come via your debts being relieved by the individual creditors owed.
Filing for chapter 7 bankruptcy includes a step by step process which is best dealt with by an established, reputable bankruptcy attorney that specializes in bankruptcy law for your state. The basic steps to follow in filing for bankruptcy are as follows:
· It is important to get information pertaining to bankruptcy before you determine if this option is the debt relief option best suited for you. If you feel there is no other way possible to get relief from your debt than bankruptcy is right for you.
· The next step is to see if you are able to file for chapter 7 bankruptcy. Do you qualify? A means test is available to determine this for you. You need to state your income, your family’s size and the amount of debt acquired.
· You will then need to find a bankruptcy attorney. The bankruptcy lawyer will help you in all aspects of your case and legal happenings surrounding the filing.
· A petition will need to be filed within district court to get the proceeding started.
· Paperwork is necessary to proceed with a bankruptcy case. This will need to be submitted along with a detailed schedule that includes every asset and liability including your current incoming funds, expenditures and investments.
· Approximately a month to a month and a half later your petition will be signed and a meeting of all of your creditors will be scheduled. You will go to this meeting. Creditors will ask you questions in regards to your current financial situation and about the property you have available to use to cover your debts.
· You will submit a certificate of compilation as instructed per the creditor’s correspondence with you.
· The next step is to wait to receive the final correspondence from creditors and the bankruptcy trustees that your debt is discharged.
· The last step is to get on with your financial future and start rebuilding your credit by paying bills on time.
Bankruptcy is not an easy thing to go through. The stress involved will only be relieved upon receipt that your debt is discharged and you are free to begin the path to financial reconstruction.