What is Chapter 7 Bankruptcy?
- all debts are eliminated – you pay nothing back to your creditors
- Within 90 days – you are debt free
- From your initial Meeting with your attorney until discharge,
- you need to be comfortable with filing Chapter 7,
- the bankruptcy process (including the 341a Meeting of Creditors), and
- have trust in your bankruptcy attorney
I spend the time to put my clients at ease with knowing the basic steps and the entire bankruptcy process.
What is Chapter 7 Bankruptcy? - Overview:
Chapter 7 Bankruptcy Process & Timeframe
Clients set up Initial Bankruptcy Attorney Consult (free BK consult). –
Client should:
- Research the attorney;
- Ask the attorney – what is their success rate?
I have a 100% success rate with Chapter 7 Bankruptcy filings
- Find out if the attorney is Board Certified.
- Ask yourself? Do I feel comfortable with the attorney?
- Read the attorney’s client reviews.
Attorney should:
- Carefully review and discuss your preliminary documents and information.
- Determine your financial goals.
- Review your assets.
- Recommend whether Chapter 7 suits your particular financial situation.
- Advise if it is the right time to file bankruptcy.
- Review detailed client documents containing your debts, creditors, assets, expenses, and income.
- Reach a decision to file Chapter 7 Bankruptcy.
- Prepare and discuss a representation agreement, (before signing); agreement is signed.
- Draft a bankruptcy petition.
- Assures that before the petition is filed, the debtor completes the required credit counseling session is completed.
- Reviews the petition with the debtor(s) and finalize the petition.
- Obtain the actual signature from the debtor(s).
Bankruptcy Attorney Files your Petition with the Bankruptcy Court.
- You should be given a copy of the filed petition.
- Immediately:
- There is a stay or hold on all creditor collections.
- No creditors can contact you or take action to collect any outstanding debts.
- Pending foreclosure proceedings are frozen.
- Wage garnishments stop.
- Immediately:
341a Meeting of Creditors
- It occurs approximately 30 days after your bankruptcy petition is filed.
- You, your attorney, and an appointed Trustee have a brief interview/meeting to discuss your case.
- It should be noted that creditors can attend the 341a Meeting to ask questions about your petition.
- If you answered bankruptcy petition questions honestly to the best of your knowledge, the process goes smoothly.
- Your attorney reviews the case thoroughly. Your attorney works with you throughout the process, ensuring the Meeting of creditors goes smoothly.
- Usually, the 341a Meeting takes not more than 20 minutes.
- However, hiring an experienced NJ Bankruptcy attorney is essential. They are prepared and thoroughly knowledgeable of your case, review your claim, and work with you to avoid delays. You should not hire an attorney who does not handle your entire case. I take all my bankruptcy cases personally from start to finish – you are never passed on to someone else.
- Following the 341a Meeting of creditors, any creditors or party of interest can object to your bankruptcy discharge.
- Reasons for objections are: you did not tell the truth on your petition, failed to disclose a recent asset transfer within two years of filing, your attorney did not do a thorough review of your case before filing your petition.
Creditor Counseling Course #2
- You need to take the 2nd credit counseling course before final discharge of your debts. This is mandatory.
- Approximately 60 days from the Meeting of Creditors, your attorney is sent a Notice of Discharge.
- I immediately (same day) send my clients this notice.
You are no longer required to pay any debts listed in the bankruptcy petition.
- Your assets, such as your home, bank accounts, and personal property (clothing, furniture, autos), are not eligible to be liquidated since there is an amount you can exclude from the bankruptcy.
- Retirement accounts are not affected – they are yours to keep and continue saving.
Fresh Start with Bankruptcy
- Heavy debt burdens are lifted.
- You are energized to move forward. There is a brighter future when you eliminate your overwhelming debts.
Let’s meet so I can explain:
What is Chapter 7 Bankruptcy?
I will advise you whether filing bankruptcy is right for you, what chapter of bankruptcy should you file, and how bankruptcy will help you with your particular financial situation.
I commit to my clients that they will feel confident in their decision and understanding of Chapter 7 Bankruptcy after we meet.
