Repairing Your Financial Situation

Posted on: 15 January 2016

Many individuals do everything they can to make ends meet. They go to work every day and put in their eight to ten hours just to survive. Even though you are doing everything in your power to take care of your obligations, you cannot always predict when an employer is going to cut your hours or lay you off. If you recently got laid off and are struggling to pay your bills every month, there are options available to you. One of those is filing for bankruptcy. For those considering filing for Chapter 7 bankruptcy, here are a few questions to ask the attorney.

What paperwork do you need to file bankruptcy?

One of the main things you need to know when looking at filing for bankruptcy is what paperwork you need to give the lawyer. You need to bring such things as all of your bills, both current and delinquent; copies of your income statements, driver's license, social security card, titles to any land and vehicles; and anything else relating to your income and expenses. Oftentimes, you will need to bring the last two years of tax returns as well. All of these items are used to determine whether you meet the standard means test. The means test determines whether you are able to afford your bills or not.

Is there anything special that needs to be done?

Ask whether there are any special requirements you have to meet before getting your debts discharged. This often includes going to a meeting of creditors (also called a 341 meeting) and completing two different credit counseling courses. Your attorney will advise you of when these things have to be completed and where to go.

Are there any debts that cannot be discharged?

You need to know what debts can't be discharged so that you can make arrangements to pay them off. Such things as student loans, restitution, tax debt and child support debt cannot typically be discharged. Your attorney can better help you determine what debts are going to stand and what ones should be discharged in the bankruptcy.

By getting the answers to the above questions, you can easily determine whether a Chapter 7 bankruptcy is the right option for you or not. Don't ever assume you are stuck trying to keep your head above water. There are far too many options available to help put an end to your struggles and allow you to regain control of your finances. Bankruptcy attorneys can help you in making the best decision for you.