If bankruptcy filing is deemed to be an opportunity for a debtor to end all his debts and start afresh; then filing for chapter 7 bankruptcy is a way to accomplish the same comparatively quicker. Filing for chapter 7 bankruptcy will indicate that the government will auction out all non-exempt asset of the debtor and appropriate the sales proceeds among the creditors. Usually, when a debtor goes for chapter 7 bankruptcy, the debtor is left little or no assets to lose and thus the entire procedure finish quicker.
While there are several different kinds of bankruptcy that you may want to file for, but it can be a daunting job to decide on the correct one that will suit your requirements. As you can well understand from the title, the article will focus on How to File Chapter 7 Bankruptcy.
The following steps will help you applying for chapter 7 Individual Bankruptcy in the right way:
- Bankruptcy should be the last option and avail it only when you see that you have no choices left.
- Begin with a bankruptcy attorney. An attorney is a professional and has the experience and competence to help you in the whole procedure.
- Credit counseling is a must.
- File petition. Filing petition will stop the creditors from going for any court action against you.
- Make sure that you finish all your paper works properly
- Make sure that you make all payments of your fees on time.
- After a petition if filed, a meeting will be held in about a month’s time. The creditors will be present and they might ask you question with regards to your assets and financial standing which you need to reply. This is an important meeting that you have to be present.
- According to the revised bankruptcy laws, the debtor who files for chapter 7 bankruptcy will have to attend a debtor financial management educational course organized by credit counseling agencies.
So, if you have adhered to the above steps you should be safe to go ahead manage your debts. Good luck to you!