How to Prepare for Chapter 7 Bankruptcy
A debtor who has run out of options when dealing with their debt may turn to bankruptcy as a way to overcome overwhelming financial obligations. However, bankruptcy is not a process that solves all problems without considerable work. Bankruptcy requires preparation from a debtor, as this process can prove extremely complicated and may cause emotional distress to many filers.
For a free consultation regarding your bankruptcy options if you need a fresh start with your finances, contact the Joliet Chapter 7 bankruptcy attorneys of the Law Offices of Stuart B. Handelman by calling 815-722-2201.
Getting Ready for Chapter 7 Proceedings
Chapter 7 bankruptcy, also known as liquidation bankruptcy, in some cases requires a debtor to surrender personal property to the court. This property is then sold to cover creditor obligations. However, this process requires substantial work on the debtor’s behalf to begin liquidation and discharging debts. A debtor needs to do the following before filing for bankruptcy:
- Prepare all personal financial data for the court
- Determine available exemptions for Chapter 7 bankruptcy
- Determine eligibility through the means test
- Go through credit counseling for the Chapter 7 requirement
It is also important for a debtor to prepare themselves emotionally. Extended legal proceedings can generate stress for which people are not initially prepared. Finding family or friends to support a debtor through these tough times can be an invaluable asset.
If you are unable to handle your obligations to creditors, Chapter 7 bankruptcy may be the right solution for you. To learn more about the process and paperwork requirements, contact the Joliet Chapter 7 bankruptcy lawyers of the Law Offices of Stuart B. Handelman at 815-722-2201 today.