The both, chapter 7 and Chapter 13, are consumer bankruptcy filing. The ultimate goal of both Chapter 7 and Chapter 13 bankruptcy is a discharge of debts and allow debtor a fresh start. In a Chapter 7 bankruptcy, a trustee can take the non exempt property, sell it and distribute the proceeds to your creditors so that they are repaid to the extent possible. Only those who pass the income “means test” can file Chapter 7 bankruptcy. Assuming you pass the means test and include all your debts in your paperwork, your debts are likely to be discharged within 4-6 months.
Category: Business
How can filing for bankruptcy help with creditors?
After you have prepared and filed your bankruptcy paperwork, the court clerk will notify all of your creditors of your bankruptcy filing and inform them that they may no longer contact you. The clerk’s notice will also include information about your meeting of creditors If your creditors continue to pursue you after receiving notice of your bankruptcy, they are subject to sanctions by the bankruptcy court.
Do I have to file for bankruptcy if I am in debt?
If you can pay your bills when they’re due, and you are not back of payments. It’s a good idea to continue with payment. Yes, bankruptcy filing is only for you if you are in debt. Further, your debts are significantly more than your assets and income, bankruptcy might be your best option.
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Whether you are a North Dakota solo practice or a large firm, while preparing petition you need to handle client questionnaire and documents with care. You need our professional services to gain an edge over your competition.
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