Filing For Bankruptcy
Filing for bankruptcy in Arizona is sometimes the right decision for your finances and your family, but how do you determine what exactly filing entails? While no case is identical, there are certain things required across the board for a bankruptcy filing and a Phoenix bankruptcy lawyer at Want A Fresh Start can help you understand specifically what is needed for your individual financial situation. The following are a few points and actions that will clarify the bankruptcy process while helping you learn what to expect.
To get the bankruptcy process going, you must provide your attorney with pertinent paperwork so he or she can get an idea of your finances. Some of these requirements include:
An itemized account of your current income sources
Your living expenses
All debts owed
Your tax returns
A detailed account of your possessions
When assessing your possessions, it is important to remember that not only cars and real estate will be considered. A comprehensive account of your belongings and assets is necessary for the process to go smoothly.
Once all paperwork is in order, it is time to actually file. Your Phoenix bankruptcy lawyer can help you determine which property is best exempted from threat of liquidation if you plan to file for Chapter 7, or you can undertake this process on your own. Then, either you or your attorney will need to file a petition and multiple other forms, known collectively as “the schedules” at the bankruptcy court in your district. In Arizona, the cost of filing for bankruptcy is currently $306 for Chapter 7 and $281 for Chapter 13. These fees cannot be waived but may be paid in increments. Once the filing and fees are taken care of, your bankruptcy case will be legally underway.
Bankruptcy Trustee Appointment
When you file, the courts will take control legally of your debts and property, unless said property is determined to be exempt. A trustee will then be appointed to act as a delegator of assets to your creditors, ensuring each is paid. Trustees will become deeply familiar with your finances and paperwork and are granted the ability to challenge any portion of your case.
Meeting With Creditors
Around a month after you have initially filed your claim, you and those you owe will have a meeting. These are short proceedings, typically taking around five minutes total, during which your trustee will discuss the allocation of your assets to resolve the debts you owe. The trustee will also attempt to absolve you of some of your debts by making them dischargeable. If your creditors do not challenge your right to discharge the debts within 60 days, you will be absolved of those factions of your debts.
Make sure you have a skilled and caring Phoenix bankruptcy attorney at your side for these proceedings. Contact us today if you have questions about filing for bankruptcy in Arizona.