Bankruptcy Filing Services, KPIG Inc.

What are the steps to follow in Filing a Bankruptcy Case?

Do you know that sometimes there might be alternatives to bankruptcy? such as a reduction in the amount paid to the creditor and settling with the creditors without the law. Or using assets as collateral in borrowing funds, or outright sales of the assets and seeking help from credit counseling service for consumers. Therefore, a certificate must be obtained from a government-approved credit counseling agency that assesses the debtor’s situation to ascertain if bankruptcy is the best choice. Therefore, this certificate must be included alongside with a relief request, a form called ‘schedules’ and a Mean Test Form’ while filing for a petition at the closest Federal Judicial District and Bankruptcy court.

After this, the debtor is to attend a meeting called the creditors meeting. It is conducted by a trustee to ascertain some information. Any inaccuracies in any of the documents submitted with regards to the bankruptcy case could be regarded as a serious crime and can lead to heavy penalties. Sometimes, you might need to appear before the court for hearings. For instance, there is always court hearing for chapter 13 cases to affirm if the debts can be paid, However, it’s not necessary for chapter 7 case.

It’s important to hire a lawyer when it comes to appearing before a bankruptcy court. Though their asking fee might be high but saves an individual from having complications along the line