What You Should Know About Chapter 7 Bankruptcy Forms
Chapter 7 bankruptcy forms are the most common type of bankruptcy forms filed. While assets like musical instruments, second cars, motorcycles, motor-homes, collectibles, vacation properties and jewelry may be at risk of liquidation by a court-appointed trustee, you will at least put an end to harassing creditors, court judgments against you and your financial quagmire. In some cases, your Chapter 7 application forms may be for “No Asset” filing, which declares that you have nothing of value at the time of your filing. If you wish to keep all your valued possessions secure, you may need the help of a legal professional or consider filing for Chapter 13 instead.
According to www.filing-bankruptcy-form.com, you will need to send in several Chapter 7 bankruptcy forms, including a bankruptcy petition, a list of creditors, a schedule of assets and liabilities, a list of exempt property, a schedule of your current income and expenditures, a statement of your financial affairs and a statement of your intent regarding any secured debts. Initially, your goal is to send in the first batch of legal forms and receive an “order of relief,” which will stop harassing creditor calls, court proceedings against you and housing foreclosure proceedings.
If you’re worried about losing assets after filling out Chapter 7 bankruptcy forms, then you may want to consider Chapter 13 bankruptcy forms instead. The primary benefit of choosing Chapter 13 over 7 is that this type offers you the opportunity to stop your home from foreclosing. While you will still have to make payments on your home, the bankruptcy gives you the ability to catch up on missed payments without court proceedings. The other benefit of Chapter 13 is that you can reschedule other secured debts and lower monthly payments. A Chapter 13 filing is similar to a consolidation loan, where the debtor pays a trustee, rather than the original creditors, which may be a relief if the creditor calls have gotten nasty. Also, filing Chapter 13 will protect any co-signors from sharing your financial ruin. If you’re unsure if you qualify, then you may want to speak with a legal professional about your case. Many attorneys offer free initial consultations.
There are some costs associated with Chapter 7 bankruptcy forms. If you decide to use a legal forms kit, then you will probably pay $40 to $160, which will require that you fill out everything yourself. If you need a little extra guidance, bankruptcy software with fill-in-the-blank forms can be purchased for around $50. If you’re really in the dark about the whole process, you may wish to obtain legal guidance from an attorney, which will cost from $500 to $1,500 on average.