At Turner Law Firm, PLLC, we understand how difficult it can be to make the decision to file for personal bankruptcy and are here to assist you in the steps to get your financial life back on track. The process is not always easy to file bankruptcy. We have to get a lot of information and paperwork – the courts require it. Sometimes the process can be stressful to get the bankruptcy filed. We understand that and try to have as straightforward and simple a process as possible when working with our firm. It’s safe to say that our clients are usually relieved and happy to get their fresh start after filing bankruptcy.
A Chapter 7 bankruptcy is also called “debt liquidation,” a “fresh start” or a “straight” bankruptcy. The name “liquidation” refers to the fact that those who file for Chapter 7 bankruptcy have to liquidate, or sell, all of their “non-exempt” assets. Exempt assets do not have to be sold, and they are generally things that the Bankruptcy Court considers necessary for the survival of the bankruptcy petitioner and his or her dependents. These are outlined by state statute and federal law. The property of most individuals we talk to is exempt and will not need to be sold by the trustee.
It is important that every creditor is listed in the schedules with an accurate mailing address. You must list all of your debts, even if the debt is non-dischargeable or if you intend to reaffirm the debt.
The schedules also list your property, any debts secured by that property, and the sale value of the property. “Property” here means “assets” or “possessions,” not just real estate. The schedules are signed by the debtor under penalty of perjury.
The schedules are filed with the bankruptcy clerk in the district in which you live, or have lived for the greater part of the last 180 days.