Bankruptcy Law

What are the steps towards filing bankrupt?


Top Answer
User Avatar
Wiki User
2010-05-10 14:16:55
2010-05-10 14:16:55

Good question. There is a common misconception that bankruptcy is simple to file for and everyone who does so gets approved. In reality, neither of those are true. Successfully completing a bankruptcy proceeding can be a difficult process. However, there is a good deal of work you must do before you can file for bankruptcy.

First, you are required to complete a "means test." This is a complicated calculation that determines your ability to pay your creditors. It also compares your financial status to the average person in your area. If you pass this means test, you are allowed to file a Chapter 7 claim in Bankruptcy court - otherwise, you can only file a Chapter 13 bankruptcy claim.

The next step involves undergoing credit counseling. Bankruptcy law requires that you complete this counseling before going through the bankruptcy process.

Finally, you can file for bankruptcy. In addition to filing, you must submit a bundle of paperwork with the Bankruptcy court. This paperwork includes information about your income, debts, assets, and personal information.

User Avatar

Related Questions

what can happen if you are filing bankrupt and you miss your court date

By filing a BK petition in your local BK court.

Just the filing fee which is around 300.00.

Bankruptcy IS debt relief. After filing bankrupt, you HAVE no more debts. No credit, either, but that's the way it works.

Your bankruptcy has noting to do with your tenant. If you were not filing, he would still owe you the rent.

Like most things, it can...sometimes well sometimes not...depends on situation.

Sometimes filing for bankruptcy happens in a persons life. However, a person can hold their own personal alcohol license even if they are bankrupt.

You can apply for a credit card immediately after filing for bankruptcy. You are more likely to receive a secured credit card after filing however. If you can wait 6-12 months after filing, you will have a better chance of receiving a positive response.

You can open a bank account immediately after filing for bankruptcy. There really is no waiting period.

To declare one's self bankrupt they must first complete a Debtor's Petition and Statement of Affairs that must be passed in to ITSA. They will then process the forms.

"The advantages of filing for bankruptcy are that if bill collectors are calling all of the time, they aren't legally allowed to call you anymore."

This means that a company is on the verge of bankruptcy and if something in the company doesn't change, that there is a definite chance of going bankrupt.

If filing a federal bankruptcy, federal BK exemptions apply. If filing a state bankruptcy, the state's exemptions apply. A few states allow the debtor to choose either state or federal filing whichever is the most beneficial to the debtor. Bankruptcy Action,

The steps one would have to take to obtain a legal separation are to first meet the states residency requirements, filing a petition, filing a separation agreement, then wait for the judge to approve it.

This is not a question. Good luck. If the question is, "Can one collect unsecured debt from a bankrupt company?" The answer is, "only if property is administered by the trustee."

I worked for Pepsi in the 1970s and have some retirement benefits. How do I find out how much is there and how to get it?

Count against you for what? Filing bankruptcy of any type for any reason will have an effect on you, particularly your credit worthiness And you do not file on any specific bills. YOU go bankrupt on everything you own and everything you owe. No exceptions.

When an individual takes actions to become a legal U.S citizen, this is called naturalization. In most circumstances, the person seeking to be naturalized has held a green card / permanent visa for a long period of time before she or he takes the steps towards naturalization. There are more than three steps but to put it simply there will be an interview, filing of U.S. citizenship forms, and then the decision by the Bureau of Citizenship and Immigration Services

mark the records for filing remove and destroy all unrelated paper and mend torn papers check the date or date the document remove fasteners

You still owe the balance after the insurance money is paid, if there is a balance. You can only get rid of it, along with your other unsecured debts, by filing bankruptcy.

There are several websites which offer information on the subject of bankruptcy. Some of the most popular include Going Bankrupt, Nolo and Legal Match.

No! Most definitely not. Bankruptcy is not an allowable defense against a charge of income tax evasion. However, if what you meant to say is whether or not you can avoid paying delinquent taxes through the filing of a bankruptcy petition then the answer becomes yes, with certain limitations and rules.

His business went to the dogs and he was declared bankrupt. He was unable to pay his debt and was declared bankrupt. His creditors got nothing as he was declared bankrupt.

Can you be a teacher if you go bankrupt ?

Copyright ยฉ 2020 Multiply Media, LLC. All Rights Reserved. The material on this site can not be reproduced, distributed, transmitted, cached or otherwise used, except with prior written permission of Multiply.