How to File for Pennsylvania Bankruptcy While Living Abroad
Filing bankruptcy in the Federal Bankruptcy Court is designed to clear debt and give the debtor a fresh start. A person may enter into bankruptcy regardless of his amount of debt. Filing for bankruptcy in Pennsylvania while living abroad can make the task more difficult depending on the type of bankruptcy you wish to file. Entering into bankruptcy without a lawyer is possible, but it is not recommended.
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Instructions
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Contact a lawyer in Pennsylvania who specializes in bankruptcy law. Explain that you are living abroad and you wish to file bankruptcy in Pennsylvania.
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Pay all lawyer fees. Ask your lawyer if she charges a flat fee or a fee that is variable according to the size of your debt. If you file Chapter 7 bankruptcy, your lawyer cannot be a creditor and you must pay all the fees before filing. If you wish to file Chapter 13 bankruptcy, a payment plan is acceptable.
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Choose which type of bankruptcy your lawyer will file on your behalf. Filing Chapter 13 bankruptcy requires a debtor to pay off debt in installments administered by a trustee and may result in the retention of property by the debtor. When filing for Chapter 7 bankruptcy, all of the debtor's non-exempt property is collected by a trustee and sold in a court-administered auction. If all of the debtor's property is abroad, the process will be more costly due to the fact that a trustee will need to be hired from the area where the debtor is located.
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Refer all creditors to your bankruptcy lawyer in Pennsylvania. Once a bankruptcy case is filed, creditors are forbidden to contact the debtor directly. If a creditor tries to make contact with a debtor after a bankruptcy case is filed, punitive damages may be awarded.
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Tips & Warnings
While living abroad, Chapter 13 bankruptcy offers possible retention of property.
When intending to file for bankruptcy, cease all credit card use. If you use a credit card without the intention of repayment, a creditor can challenge the discharge of the debt.
It is not recommended to enter into bankruptcy to solve small debt problems. A bankruptcy may be listed on your credit report for up to 10 years. Bankruptcy should be a last resort.
References
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