Chapter 7 Monterey And Useful Facts About It
Chapter 7 is the most common form of bankruptcy that is filed. It can also be referred to as liquidation or straight bankruptcy. It is actually what the majority of people think about when the word bankruptcy comes to mind. For this process, there is appointment of a trustee by the court who will oversee the case. Part of their role is taking assets of the person and selling them to pay creditors. When considering chapter 7 Monterey residents need to know what is involved.
Before one gets to file for petitions, you will be supposed to gather useful financial statements from their bank, loan documents and credit card statements. The information will be useful for filing out of statements of financial affairs and schedules. The same will apply to all other documents to be filed in court. In essence, the person should open up about their situation financially.
Almost all persons that look to file for chapter 7 petition should go through credit counseling. The sessions are overseen by qualified credit counselors before filing of the case. The sessions need to be done in person, over the phone or online. This is very important because some debtors never have information on the options they have. Credit counselors will come up with a number of options that keep the person from bankruptcy.
When a petition is filed under chapter 7, it will stop most of the collection actions against the debtor and his or her property. Filing of the petition will however not stop some actions that are listed under bankruptcy code. Also, the stay might only be effective for a short duration in some cases. As long as the stay is in effect, a creditor may not initiate lawsuits or wage garnishments. The bankruptcy clerk will give notice of bankruptcy case to all the creditors whose addresses and names are provided by the debtor.
After some 20 to 40 days after the petition is filed, the trustee that was appointed in charge of that case holds a creditors meeting. For the meeting, debtors will be put under oath, with both creditors and the trustee asking questions. The debtor has to attend the meeting to answer any arising questions.
If a petition is field jointly by a husband and wife, they are required to both attend the meeting of creditors. Ten days after the meeting, the trustee is supposed to issue a report to the courts. They will give a report whether that case can be assumed as an abuse to court processes considering what is stipulated in the means test. The test will determine how eligible one is for filing of cases under chapter 7.
It is extremely important for their to be cooperation between debtors and the trustee. The debtor has to offer all the required records that will help in the petition. The questions that are asked during the meeting will be to confirm that they know consequences of the petition.
It is important to get professionals assistance when filing for chapter 7. This could be from a trusted friend or an attorney. As a matter of fact, it is best to get a legal professional to take you through the process.
Before one gets to file for petitions, you will be supposed to gather useful financial statements from their bank, loan documents and credit card statements. The information will be useful for filing out of statements of financial affairs and schedules. The same will apply to all other documents to be filed in court. In essence, the person should open up about their situation financially.
Almost all persons that look to file for chapter 7 petition should go through credit counseling. The sessions are overseen by qualified credit counselors before filing of the case. The sessions need to be done in person, over the phone or online. This is very important because some debtors never have information on the options they have. Credit counselors will come up with a number of options that keep the person from bankruptcy.
When a petition is filed under chapter 7, it will stop most of the collection actions against the debtor and his or her property. Filing of the petition will however not stop some actions that are listed under bankruptcy code. Also, the stay might only be effective for a short duration in some cases. As long as the stay is in effect, a creditor may not initiate lawsuits or wage garnishments. The bankruptcy clerk will give notice of bankruptcy case to all the creditors whose addresses and names are provided by the debtor.
After some 20 to 40 days after the petition is filed, the trustee that was appointed in charge of that case holds a creditors meeting. For the meeting, debtors will be put under oath, with both creditors and the trustee asking questions. The debtor has to attend the meeting to answer any arising questions.
If a petition is field jointly by a husband and wife, they are required to both attend the meeting of creditors. Ten days after the meeting, the trustee is supposed to issue a report to the courts. They will give a report whether that case can be assumed as an abuse to court processes considering what is stipulated in the means test. The test will determine how eligible one is for filing of cases under chapter 7.
It is extremely important for their to be cooperation between debtors and the trustee. The debtor has to offer all the required records that will help in the petition. The questions that are asked during the meeting will be to confirm that they know consequences of the petition.
It is important to get professionals assistance when filing for chapter 7. This could be from a trusted friend or an attorney. As a matter of fact, it is best to get a legal professional to take you through the process.
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Get a summary of the factors to consider when choosing a Chapter 7 Monterey lawyer and more information about an experienced attorney at http://www.centralcoastbankruptcy.com now.
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