What Steps Are Needed to File Bankruptcy?
A bankruptcy filing requires the debtor to take certain steps before the bankruptcy court can find the filing valid. This process includes education courses, extensive paperwork and a courtroom appearance.
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Required Education
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Debtors must first undergo credit counseling from an approved education center 180 days or sooner before filing for bankruptcy, according to the Federal Trade Commission. They will also have to take a debtor education course after filing before the bankruptcy discharge can proceed.
Paperwork
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A bankruptcy filing requires debtors to fill out anywhere from 30 to 60 pages of financial documents listing all assets and liabilities, along with their current wages if they work, according to Credit Info Center. This painstaking process often calls for the aid of a bankruptcy lawyer to make sure the debtor does not file incomplete or inaccurate information.
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Filing
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When the bankruptcy court receives the completed filing documentation, it then bars the creditors listed in the documentation from continuing to pursue the debts. Approximately one month later, according to Credit Info Center, the debtor must attend a First Meeting of Creditors in which the creditors have the option to question the debts listed in the filing.
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