Bankruptcy is a word that holds frightening connotations, but for some families or individuals, it may be the only chance that they have for saving their financial status and quality of life. There are some important steps for people who intend to file bankruptcy to follow before they actually submit the paperwork, and dealing with the aftermath of filing requires patience and, in many cases, assistance. Bankruptcy cases move through the court quickly, and filing is a process that is finished completed within a few months in most cases. Having a professional to guide you through the steps is an invaluable asset.
Finding a trustworthy bankruptcy lawyer is a vital step that should be taken when filing for bankruptcy. While the cost of hiring a lawyer may be a hard one to swallow, they become an invaluable resource during this trying time. Whether you live in San Francisco or New Orleans bankruptcy lawyers will be your best friend through the entire process. They can give you professional advice on how to handle your assets and the proper order in which you should file for bankruptcy. Personal research can supplement this, but it should never replace the guidance of a bankruptcy lawyer.
Filing for bankruptcy falls under federal law, which means that the process is the same in all states. Gathering of documents can be done prior to filing, and in many cases, this can make the process of filing for bankruptcy easier and more streamlined. Within 15 days of filing for bankruptcy, the filer should document all debts in the amount and to whom they are owed and submit this to the court system. At this point, the court system will then inform each party on the list of the impending bankruptcy of the filer.
Within a month after filing for bankruptcy, the filer is required to submit their intentions to the court. This is a time when a bankruptcy lawyer will be extremely important. All assets, such as a vehicle or home, that are being held as collateral against the loan must be accounted for and the filer’s intentions for that item should be made clear. This is something that is best done under supervision of your lawyer, as they will have your best intentions in mind.
Standing in court to swear the accuracy of all statements occurs after all paperwork is documented with the court system. This, known as the meeting of the creditors, is a time for the filer to vow that they have presented nothing false and have hidden nothing from the courts. Creditors are invited and encouraged to come, though many do not. This step is fairly simple, provided you are fully prepared and have given only the truth.