How to File for Bankruptcy & Ways to File Bankruptcy

2019/03/01

If you are one of the unfortunate people who have been laid off due to the recession and are drowning under piles of debt, then filing bankruptcy may seem like a viable option for you.How to File for Bankruptcy  & Ways to File Bankruptcy

Bankruptcy filing has significantly increased in the last couple of years as more Americans are looking to it to resolve their unpaid debts and eliminate their bills through this legal recourse.

There are basically two ways that you can file bankruptcy. Chapter 7 Bankruptcy also known as Liquidation allows certain dischargeable debts to be cancelled completely thus allowing the debtors some relief. This law does not extend to student loans, alimony and child support. According to the federal bankruptcy laws, a person needs to qualify for the filing the petition under Chapter 7.

In contrast to this Chapter 13 Bankruptcy allows the debtors to make monthly payments to the bankruptcy trustee for a fixed period for discharging the debts. While filing the paperwork or petition in court, a debtor must ensure that he retains maximum property while eliminating his debts.

Filing these bankruptcy forms can be a long drawn and complex procedure which requires the help of bankruptcy lawyers with an in-depth knowledge of the bankruptcy procedures. However the filing fees can burn a hole in your pocket. In contrast to that you can also file your bankruptcy petition Pro Se or by yourself.

Availability of online forms along with accessibility the federal database, PACER for submitting and filing the petition has made this system easier for thousands of internet users who plan to file bankruptcy.

To file bankruptcy online you need to first download all the requisite forms which are provided in PDF format. Print them out and start filling up the forms. Now instead of standing in long queues in courts, you can file your forms online with ease using the PACER service.

This service is used both by the legal representatives and individuals. It usually has a cost associated to it, for example filing Chapter 7 may cost you around 200 dollars. One you have filed the petition you now need to be ready to represent yourself in the court for the “Meeting of Creditors”. In this meeting your petition is reviewed by the trustee and then in a few months time you would be notified by the court if your dues are discharged or not.

While filing bankruptcy online does give you the freedom from the hassles of the courts and attorneys, thus saving you considerable money and time, it also has certain pitfalls along the way. People who are not acquainted with the bankruptcy laws might makes mistakes in the petition leading to it being cancelled or cost you the loss of your assets.

It is thus advisable to take help from attorney to help file your forms. However if you are confident of the information and understand the bankruptcy laws, then save yourself the stress and money and file your bankruptcy online with ease.

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