Are Certain Debts Non
Absolutely. The right to a fresh start is not without limitations. You cannot discharge fraudulent debts, some taxes, student loans , amongst others. The list of what is non-dischargeable is as much black letter law as it is good lawyering. However, if you have been honest and forthright, chances are that you will not have any problems.
N K Member Iowa And Illinois Bar / Freeadvice Contributing Attorney
Answered 12 years ago | Contributor
The U.S. Bankruptcy Court’s website for the District of Colorado contains information regarding filing, fees, forms, etc. Be sure and read everything carefully to determine if you want to do it yourself. Start here for information about people filing without an attorney: http://www.cob.uscourts.gov/debtorinfo.asp.
Information about fees can be found here: http://www.cob.uscourts.gov/fees.asp.
Frequently asked questions are answered here:http://www.cob.uscourts.gov/faqs.asp?faq=debtor#debtor.
IMPORTANT NOTICE: The Answer provided above are for general information only.The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person.Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcomeor an attorney’s conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not beauthorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike theinformation in the Answer above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.
Should I File Chapter 11
Maybe. Though I doubt it. Chapter 11 bankruptcy is very complicated and very expensive. It is specialized and will probably take years to complete. Typically large corporations, such as United Airlines, or very wealthy individuals are the best candidates for Chapter 11. Chances are if you are a small business owner you have personally guaranteed your debts and a business bankruptcy under Chapter 7 would be better for you. . However, this issue is tricky and may factors will go into deciding which course of action is best for you. You should speak to an attorney if you have a business bankruptcy issue.
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Find Out How Much It Costs To File Bankruptcy In Colorado
To learn how much it costs to file Chapter 7 bankruptcy or Chapter 13 bankruptcy in Colorado, schedule your free, confidential bankruptcy consultation with a Colorado bankruptcy attorney today. Our online scheduling system allows you to schedule bankruptcy consultation at a time that is convenient for you or you can call 303.331.3403 to talk with someone about coming in for a consultation.
Print Your Bankruptcy Forms
Once you have reviewed your Colorado Springs bankruptcy forms, itâs time to print and file them with the Court. You will need two versions: one for submission to the Court and one for your records. If you donât have a printer at home consider: 1) printing at a friend or family memberâs house, 2) print at a Staples or Kinkos, or 3) print at a local library . The Colorado Springs area is home to a host of local libraries that you can check out, maybe thatâs why it was voted the 5th best place to live in the U.S. When you are printing, keep in mind that you should never print double-sided.
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Chapter 7 Or Chapter 13
Before filing for bankruptcy, Colorado residents must determine if Chapter 7 or Chapter 13 bankruptcy is more appropriate for their needs. In Chapter 7, your nonexempt assets can be liquidated by the court to pay off your debts. You are eligible for Chapter 7 if your income is less than Colorados median monthly income . Individuals with higher income levels can still file for Chapter 7 in Colorado if they are able to pass a complicated means test.
In Chapter 13, debtors create a court-approved payoff plan, which shows how the debts will be paid within a limited period of time. Average monthly income will dictate the terms of the Chapter 13 payoff plan. Chapter 13 plans generally require debt repayment within 36 months, but they can also last as long as 60 months.
Complete The Bankruptcy Forms
The bankruptcy forms are an illustration of your financial situation. You will be painting a picture of what youâre going through for the trustee and the court. You will explain in detail the amount and nature of your debts, your income and your expenses. You will also list in detail all of the property you own . The best way to prepare for filling out the forms is to gather the bankruptcy documents mentioned above: paystubs, bank statements, and tax returns. These documents contain the necessary information you need to fill out the Colorado Springs bankruptcy forms. The most common mistakes people make when filling out the forms is forgetting important information. Even though you may have worked a job for only 2 weeks, that income must be included in your bankruptcy forms. The rule of thumb is: no detail is too little not to matter. When filing bankruptcy in Colorado Springs, itâs better to be overly inclusive.
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Us Trustee Program Extends Telephonic Or Video Section 341 Meetings
The U.S. Trustee Program has extended the requirement that section 341 meetings be conducted by telephone or video appearance to all cases filed during the period of the Presidents Proclamation on Declaring a National Emergency Concerning the Novel Coronavirus Disease Outbreak issued March 13, 2020, and ending on the date that is 60 days after such declaration terminates. However, the U.S. Trustee may approve a request by a trustee in a particular case to continue the section 341 meeting to an in-person meeting in a manner that complies with local public health guidance, if the U.S. Trustee determines that an in-person examination of the debtor is required to ensure the completeness of the meeting or the protection of estate property. This policy may be revised at the discretion of the Director of the United States Trustee Program.
Colorado Bankruptcy Process How To File Bankruptcy In Colorado
2005 Bankruptcy Act Credit Counseling The 2005 Bankruptcy Act requires all individual debtors who file bankruptcy on or after October 17, 2005, to undergo credit counseling within six months before filing for bankruptcy relief and to complete a financial management instructional course after filing bankruptcy.
2005 Bankruptcy Act Means TestUnder the 2005 Bankruptcy Act your income and expenses will be analyzed to determine if you qualify to file a Chapter 7 or if you must file Chapter 13. To apply the means test, the courts will look at the your average income for the 6 months prior to filing and compare it to the median income for Colorado. If the income is below the median, then you may choose Chapter 7. If your income exceeds the median, the remaining parts of the means test will be applied to determine if you can file Chapter 7 or if you must file Chapter 13.
Gathering PaperworkTo begin the bankruptcy process you must itemize your current income sources major financial transactions for the last two years monthly living expenses debts and property . You should also collect your tax returns for the last two years, deeds to any real estate you own, your car titles, and the documents for any loans you may have.
The cost for filing a Chapter 7 bankruptcy is $306. This fee may not be waived but you may be able to pay it in installments. The fee of $281 for a Chapter 13 bankruptcy cannot be waived.
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The Bankruptcy Law Firm Of John A Mclaughlin Jr Pc
When youre out of options and overwhelmed by debt, you need immediate and effective solutions. Attorney John A. McLaughlin, Jr., practices ONLY bankruptcy law and knows how to protect you from the demands of creditors. Allow the bankruptcy law firm of John A. McLaughlin, Jr., P.C., with offices in Colorado Springs and Pueblo, help you start on the road to financial recovery.
Is Filing Chapter 13 Worth It
Bankruptcy is a serious financial measure, but it might be an option for people struggling with debt. Chapter 13 bankruptcy could make sense if you have steady income and want a chance to keep your home or car. Theres no guarantee the immediate relief will be worth the long-term consequences of the bankruptcy.
Dont Be A Victim Of Bait And Switch Advertising
If you search on the Internet for bankruptcy, you will see ads offering bankruptcy for very low prices of , $499, $599 etc. Can you really hire a licensed bankruptcy attorney to complete the bankruptcy process and fully represent you for such a low price?Ask some questions. Ask what the fee covers. Does it include more than just preparing your bankruptcy petition? Does the attorney prepare the bankruptcy and meet with you or will you meet with a secretary? Will the attorney talk to your creditors to let them know you are filing bankruptcy? Will the attorney be there with you when you go to the meeting of creditors? Will the attorney negotiate a reaffirmation agreement and be there to help you.? Will the attorney be available to answer your questions?. These are just a few of the issues that can arise in a simple bankruptcy case.
It would be surprising if the firm could show you more than one fee disclosure at the advertised fee. Bankruptcy petitions are filed electronically, and bankruptcy attorneys have access to the case management system . In fact, you can request access too. So everyone can, in principle, view all the documents filed in any bankruptcy case and see what other attorneys really charge for bankruptcy.
In contrast, I offer Chapter 7 bankruptcies in Colorado for a flat and fixed fee.
What Is The Difference Between Chapter 7 And Chapter 13 Bankruptcy
If you do ultimately decide to file, one of the first big decisions you’ll make is whether to file Chapter 7 or Chapter 13 bankruptcy. These chapter names refer to sections of the U.S. Bankruptcy Code where it’s outlined how, exactly, your debt is taken care of in each process. The choice to file one or the other determines whether you’ll be put on a debt repayment plan or if your debts will be settled with the property you own. If you find yourself at a crossroads, start here to get a grasp on what’s ahead.
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Do It Yourself File Bankruptcy
How to File Chapter 7 Bankruptcy Yourself | The 8 Steps Determine Eligibility. Fill Out the Means Test. Receive Credit Counseling. Fill Out Official Bankruptcy Forms. File a Petition. Attend a Creditors Meeting. Attend Personal Financial Management Instruction Course. Meet the Bankruptcy Courts Requirements.
Is There An Income Limit For Chapter 7 Bankruptcy
To automatically qualify for Chapter 7, your disposable income must be below the median level for your state. That number varies from state-to-state. If your disposable income exceeds the median in your state, you still may be able to qualify through a means test that includes looking at your income and reasonable expenses to see if you can get that number under the median income for your state.
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Preparing For Chapter 7 Bankruptcy
Theres some protocol to follow in the months before filing for bankruptcy. Failing to follow these instructions could undermine your efforts.
Dont Pay Creditors It seems counterintuitive and you should definitely make routine payments. But any large or unusual payments could be viewed as preferential transfers. That means one creditor has benefited unfairly over others.
No New Debt A new creditor could claim you took out a loan or ran up the balance on a credit card without intending to pay it back. Legally, thats fraud and it will not be forgiven.
No Unusual Transactions Dont stray from the routine. Dont transfer titles of cars or homes. Dont buy luxury goods. Dont transfer your business or remove your name from it. They can all be classified as fraud.
Be Truthful You are required, while filing for bankruptcy, to provide full and complete information. You must disclose any debt, assets, accounts or other financial information. Failure to comply could lead to fraud and potential criminal charges.
Dont Touch Retirement Funds You are generally allowed to keep retirement plans and accounts, so keep them safe while considering bankruptcy and dont use those funds to pay down debt.
Never think you can get away with something sneaky or dishonest. Your bankruptcy lawyer is always a good resource for what you should and shouldnt do.
Bankruptcy Filing Fees And Other Costs
Bankruptcy court fees depend largely on the kind of bankruptcy.
For both Chapter 7 and Chapter 13 bankruptcy, youll be responsible for paying fees just to have the bankruptcy court hear your case. These can include
- Filing fee The cost to file for Chapter 7 is $335, and $310 for Chapter 13.
- Credit counseling fee If you want to file for bankruptcy, youre required to receive credit counseling first. Many agencies charge a nominal fee for this service, which can cost around $50, according to the Federal Trade Commission. If you cant afford to pay, you may be able to get the fee waived.
- Additional fees You must take a debt education course after you file for bankruptcy in order to get a discharge. The cost can range from $50 to $100, according to the FTC. If you cant afford the fee, you may be able to get the provider to lower its fee or waive it completely.
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Can I File Bankruptcy Myself
At Cohen and Cohen, we encounter a lot of interest from potential clients in filing their own Colorado bankruptcy pro se. You can do it. In fact, there are some instances where there are not any problems. But we cannot stress enough why filing on your own is a bad idea for several reasons:
You will have a far easier time with less risk if you file bankruptcy using an experienced Colorado bankruptcy attorney. Have an attorney available to advise you from the start and avoid common pitfalls and unnecessary risks.
What Is A Chapter 13 Bankruptcy
The short answer is that it is a reorganization rather than a liquidation. This form of relief is sought for various reasons, such as not passing the means test, greater flexibility, and protection of assets. Under this type of bankruptcy the debtor is able to reorganize their debt and pay back a percentage of what is owed over a period of 3 to 5 years. The actual payment amount is based on numbers and depends on a series of factors including but not limited to income and expenses.
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How Much Bankruptcy Costs And How To Pay For It
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Its a classic catch-22: Youre in rough financial shape and need to file for bankruptcy. But between filing fees and the cost of hiring the right bankruptcy attorney, you could end up paying hundreds or even thousands of dollars to do so.
Heres what bankruptcy costs and how to pay for it.
Filing For Bankruptcy Can Cost Anywhere From A Few Hundred To A Few Thousand Dollars Depending On The Type Of Bankruptcy Filed And Whether You Hire An Attorney Or Take A Diy Approach
Filing fees and other miscellaneous costs required to file a bankruptcy petition typically range from $300 to $400. If youre filing on your own, you may not have to pay much more than that.
Working with a bankruptcy lawyer can add to those figures significantly. Their fees can vary widely based on the type of bankruptcy you file for, the market rate where your attorney practices and the complexity of your financial situation.
Coming up with any extra money might seem impossible if youre already struggling to pay for basic expenses and creditors are breathing down your neck. Luckily, assistance may be available if you believe bankruptcy is the right choice for you.
Lets look at the two common types of bankruptcy, the fees you may be responsible for and a few ways you might be able to pay for them.
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Colorado Bankruptcy Exemptions And Law
If you live in Colorado and are having trouble paying down your debt, bankruptcy could shield you from bill collectors while you pay off or eliminate your debt. Bankruptcy offers individuals and couples who are deep in debt and do not see any route to paying it off in the future a way forward. It can force your creditors to accept payment plans and reduced payments to give you a fresh start free from most debt.