bankruptcy-law-online

Admin — Tue, 23 Aug 2011 00:18:01 +0000

Official Bankruptcy Forms must be used to file and take action in bankruptcy cases. Procedural Forms also may be necessary for use during the course of some bankruptcy proceedings. Additional filing instructions, along with the forms, are available in the Bankruptcy Forms Manual below (PDF format).

Part I – Official Forms, Instructions, and Committee Notes

Instructions | Committee
Notes

B 11B

Special Power of Attorney (06/90)

Instructions | Committee
Notes

B 12

Order and Notice for Hearing on Disclosure
Statement (12/03)
Instructions | Committee
Notes

B 13

Order Approving Disclosure Statement and
Fixing Time for Filing Acceptances or
Rejections of Plan, Combined with Notice Thereof (12/03)

Instructions| Committee
Notes

B 14

Ballot for Accepting or Rejecting Plan
(12/03)

Instructions | Committee
Notes

B 15

Order Confirming Plan (12/01)
Instructions | Committee
Notes

B 16A

Caption (12/07)

Instructions | Committee
Notes

B 16B

Caption (Short Title) (12/94)

Instructions| Committee
Notes

B 16C

[Abrogated] (12/03)
Committee Notes

B 16D

Caption for Use in Adversary Proceeding
other than for a Complaint Filed by a Debtor (12/04)

Instructions | Committee
Notes

B 17

Notice of Appeal under 28 U.S.C. §158(a)
or (b) from a Judgment, Order or Decree of a Bankruptcy Court (12/04)

Instructions | Committee
Notes

B 18

Discharge of Debtor (12/07)
Instructions | Committee
Notes

B 19

Declaration and Signature of Non-Attorney
Bankruptcy Petition Preparer (12/07)
Instructions | Committee
Notes

B 20A

Notice of Motion or Objection (12/10)
Instructions | Committee
Notes (20A-B)

B 20B

Notice of Objection to Claim (12/10)
Instructions

B 21

Statement of Social Security Number (12/07)
Instructions | Committee
Notes

B 22A

Statement of Current Monthly Income and Means
Test Calculation (Chapter 7)(12/10)

Instructions | Committee
Notes (22A-C)

B 22B

Statement of Current Monthly
Income (Chapter 11) (12/10)

Instructions

B 22C

Statement of Current Monthly
Income and Calculation of Commitment Period and Disposable Income (Chapter
13) (12/10)

Instructions

B 23

Debtor’s Certification of Completion
of Instructional Course Concerning Financial Management (12/10)
Instructions | Committee
Notes

B 24Certification to Court of Appeals (12/07)

Instructions | Committee
Notes

B 25APlan of Reorganization in Small Business Case under Chapter 11
(12/08)

Instructions| Committee
Note

B 25BDisclosure Statement in Small Business Case under Chapter 11 (12/08)
Instructions | Committee
Note

B 25CSmall Business Monthly Operating Report (12/08)

Committee
Note

B 26Periodic Report Regarding Value, Operations and Profitability of
Entities in Which the Debtor’s Estate Holds a Substantial or Controlling
Interest (12/08)

Instructions | Committee Note B 27

Reaffirmation Agreement Cover Sheet (12/09)

Instructions | Committee
Note

Avoiding Bankruptcy

Admin — Tue, 16 Aug 2011 00:52:32 +0000

Several options exist outside of bankruptcy. Which option is best depends on the individual’s financial situation. Given the available alternatives to bankruptcy for those in financial trouble, it is often best to consult an attorney. Before deciding to handle your own bankruptcy, understand that bankruptcy is a complex area of law and mistakes can be disastrous and permanent.

DEBT CONSOLIDATION

Debt consolidation is the process of resolving financial trouble by consolidating debts into monthly payments. Existing creditors may be willing to lower interest rates or create other favorable terms with debtors to avoid the effects of bankruptcy. However, debt consolidation is sometimes a difficult option because it is usually only available to debtors with a realistic chance of repaying all their debts within a reasonable time.

A debtor may attempt to acquire a debt consolidation loan through which the debtor borrows against equity to repay existing debt. Debt consolidation loans create the risk of creating more debt, making a bad situation worse.

SETTLEMENT WITHOUT BANKRUPTCY

Instead of filing for bankruptcy, a debtor may negotiate a settlement with creditors to reduce debts or improve existing terms. Creditors are often willing to compromise to prevent the debtor from discharging debt obligations through bankruptcy.

Online Bankruptcy

Admin — Tue, 16 Aug 2011 00:24:49 +0000

PREPARED FORMES

Several sites prepare online forms for a fee. The uses submits the necessary information to the site which generates the forms which the user files with the bankruptcy court. For an additional fee, some sites offer attorney services to review or assist in preparing the completed forms.

ONLINE ATTORNEY

Many attorneys use firm websites and email exclusively to represent clients in bankruptcy. The presence of “virtual offices” has grown in recent years, as both attorneys and clients find the reduction of in-person interaction mutually reduces costs of representation without sacrificing quality.

ONLINE PARALEGAL

While paralegals are prohibited by law from offering legal advice, paralegals may prepare bankruptcy petition documents. Paralegals usually charge less than attorneys but often do not possess the superior knowledge and training of a licensed attorney.

Chapter 13 Bankruptcy

Admin — Mon, 15 Aug 2011 15:36:03 +0000

Through Chapter 13 bankruptcy, the debtor proposes a plan to repay creditors within three to five years. The plan details the repayment of debts. The debtor usually retains his assets and creditors are repaid an amount less than they were entitled to had the debtor NOT filed for bankruptcy.

[compare Chapter 13 with Chapter 7]

13- requires a steady income to fund the plan. Debtor wants to retain property. Debtor has a larger estate or non-exempt property that could be sold through a chapter 7.

Chapter 7 Bankruptcy

Admin — Mon, 15 Aug 2011 15:17:47 +0000

What is Chapter 7 Bankruptcy?

Chapter 7 allows individuals to completely eliminate debts to give an honest individual debtor a “fresh start.” Through Chapter 7 bankruptcy, the debtor’s assets are sold and distributed to creditors. Certain property is exempt from this process, allowing the debtor to retain such property. Available exemptions vary depending on the state of filing.

Unsecured creditors file a claim for distribution of the debtor’s estate.

Before filing bankruptcy, consider all available options.

The debtor usually receives a discharge, within 4 months, releasing him from personal liability for dischargeable debts.

After bankruptcy, an identifying statement sometimes remains on the debtor’s credit report for 10 years.

Keep Property without Paying Debts Under Chapter 7

Generally, all of your property will be exempt, allowing you to keep your assets without paying debts. Which property qualifies as exempt depends on the federal and state laws applicable to your state. In a Chapter 7 bankruptcy the trustee sells nonexempt property to satisfied debts in accordance with the provisions of the Bankruptcy Code.

Typical exemptions include $75,000 of equity in your residence, $21,800 of equity in personal property, plus the standard exemptions for your car, jewelry, household goods, tools of the trade, and many other exemptions.

Chapter 7 Does Not Extinguish Liens on Property but the Underlying Debt is Discharged

Many assets are subject to liens and mortgages (i.e. home loans, car loans, etc) which enable the lender to foreclose or repossess the property to satisfy the loan.

Secured creditors are often willing to renegotiate with bankrupt debtors on existing loans. The decision of when to file is important in maximizing all financial remedies. Thus, it is important to consult an attorney before filing for bankruptcy to assist in negotiating with creditors.

What Can I Discharge in Chapter 7 Bankruptcy?

In most cases, almost all debts are dischargeable, including but are not limited to:

(1) credit cards,

(2) medical bills,

(3) judgments,

(4) collection accounts,

(5) mortgages,

(6) car loans,

However some debts are non discharge-able as an operation of law, these include but are not limited to:

(1) Student Loans

(2) Taxes

(3) Child Support

(4) Judgments for Fraud

(5) Judgment for Personal Injury where the Debtor was under the influence of alcohol or drugs

(6) Debts assumed pursuant to a Marriage Settlement Agreement or Family Court Order 11 U.S.C. § 523(a).

How to File for Bankruptcy

Admin — Mon, 15 Aug 2011 15:05:16 +0000

Bankruptcy begins with the filing of a petition and other forms with the bankruptcy court. The debtor must gather all his or her financial information including debts owed to creditors. The following information must be filed concurrent with or after the petition:

Schedules of assets and liabilities
A schedule of current income and expenditures
A schedule of certain contractual obligations and leases
A statement of finances
Evidence of payment advances from an employer to the debtor within 60 days before the filing of the petition
Other assets specified under § 521(c) of the Code

After filing the court will enact an automatic stay preventing creditors from contacting the debtor or staking a claim to any property from date of filing. Most bankruptcies require a 314 meeting in which the debtor negotiates with the creditor.

Upon resolution of bankruptcy, the court requires the debtor to attend credit counseling and a financial management course.

Bankruptcy Law

Admin — Mon, 15 Aug 2011 14:46:59 +0000

FRESH START

Bankruptcy provides the debtor with a fresh start by eliminating or substantially reducing financial obligations to creditors. The primary source of bankruptcy law exists under Title 11 of the United States Code.

DEBTS ELIMINATED

During bankruptcy, the debtor, under court supervision, resolves debts by dividing his assets among his creditors while the debtor retains certain exempt property. Available property exemptions vary depending on which state the bankruptcy is filed. Upon termination of bankruptcy, the debtor is discharged of his prior debts.

CHAPTER SEVEN OR CHAPTER ELEVEN

There are two forms of bankruptcy for individuals under federal law: Chapter 7 and Chapter 11. [describe]

Personal Bankruptcy

Admin — Sat, 13 Aug 2011 17:44:05 +0000

Individuals may file for bankruptcy under Chapter 7 and Chapter 13 of the United States Code. Chapter 7 liquidation requires the collection of non-exempt property of the debtor which is sold and proceeds distributed to the creditors. Chapter 13 reorganization allows the debtor to keep some or all of his or her property and to use future earnings to pay off creditors on a three to five year plan.

[reasons for bankruptcy]

[alternative]

[lawyer]

[filing]