Claiming bankruptcy is not an easy thing to do. Before proceeding, make sure that bankruptcy is the only option for you, as your financial history will suffer greatly from it. If you decide that this is the best way to go, here are a few guidelines on how to claim bankruptcy. The process is quite complex, but if you follow these steps you will get through the maze.
• Avoid companies that say that they can ease up the bankruptcy process. Many of them are scams. Know that you don’t need any company taking care of your bankruptcy file. You can do it yourself, with the help of a bankruptcy lawyer.
• Seek legal advice. Paying for an attorney is probably not your priority, especially that you’re having financial difficulties. However, you should take it into consideration, as a bankruptcy attorney can really help you to successfully claim bankruptcy. Most lawyers offer a free initial consultation in which they will look at your documents and give you some advice on your file. Go to that initial consultation and decide afterward if you want to hire them for the whole process.
• Fill in the “Means Test”. You will have to prove that you are eligible for bankruptcy by filling in forms stating your income, debts and the value of your assets.
• Go to the court that manages bankruptcy cases in your area and file all the necessary documents for your bankruptcy case. You can get a complete list of the necessary forms at the clerk’s office. You you also have to pay a filing fee.
• The court will arrange a meeting between you and your creditors, called a “341 bankruptcy meeting”. The trustee handling your case and your creditors might ask you questions about the information you put in your bankruptcy file, and you’ll have to answer under oath. Don’t miss the 341 meeting!
These are the main steps you have to follow in order to claim bankruptcy. Remember that it’s easier to have a lawyer help you along the way. Make sure you are honest when you fill in the bankruptcy forms, as any lie or omission might result in your case being dismissed.