What does the bankruptcy process involve?
Ask the Experts!
The bankruptcy process starts with the filing of a bankruptcy petition. This petition will feature comprehensive information regarding your finances, including a statement of those finances, a list of the assets and liabilities you possess, a list of any contracts or leases you are entered into, and your current income. Once you have filed your bankruptcy petition, your creditors are automatically barred from continuing to pursue you for the debts that you owe. This cease-and-desist action is known as an “automatic stay.” If your petition is accepted, a bankruptcy trustee will administer the next steps of your bankruptcy, which will vary depending on the type of bankruptcy you are filing for.
If you are filing for Chapter 7, your non-exempt assets will be sold so that your creditors can be paid. Your debt will then usually be discharged within 75 days. It should be noted that many Chapter 7 bankruptcies are “no asset” cases, meaning the person filing does not have any non-exempt assets to be liquidated. Or if you are filing for Chapter 13, you will pay your creditors back according to a payment plan that traditionally spans a three to five year timeframe. The creditors of your secured debts will be paid first, followed by your unsecured creditors, who receive a percentage or the entirety of what they are owed according to your ability to pay. Our legal team can provide you with more information about the bankruptcy process, and give you advice that will assist you in choosing whether or not to file.
Guiding You Through Bankruptcy From Start to Finish
Cain & Associates, PLLC is a law firm with over a decade of experience in helping those who are experiencing significant financial trouble. We are well versed in the laws related to bankruptcy in our state, which gives us the ability to assist our clients in successfully navigating their bankruptcy proceedings. We can consult with you if you are considering bankruptcy, and will give you all of the information available to aid you in your decision. So contact Attorney Cain for information on the bankruptcy process.