Faqs Bankruptcy Questions You Probably Have About Bankruptcy
Declaring personal bankruptcy is no laughing matter It’s a serious step that you will have to study carefully before making your decision, since filing Chapter 7 or Chapter 13 will affect your family’s finances for a long time to come That’s why this article will cover some frequently asked questions about bankruptcy . .How much does it cost to declare bankruptcy? . . .Well, at the time of this writing, the cost for Chapter 7 bankruptcy filing is $274, while Chapter 13 would cost you $189 Keep in mind this is only the court filing fee and does not include your legal fees . .Has the new bankruptcy law made it more difficult to declare bankruptcy? . .The new bankruptcy law passed in 2005 by Congress and signed by President George W Bush has made the process more complex However, contrary to popular misconception, bankruptcy is still available for many Americans who need help There are some changes such as mandatory credit counseling and having to go through something called a means test in order to determine your financial needs based on income and expenses This was supposed to keep people from abusing the bankruptcy process when they didn’t really need it . .Do you really need a lawyer to declare bankruptcy? . .Following up on the previous question regarding the new bankruptcy law, you have to understand the process has become more difficult You really need a good bankruptcy lawyer who has kept up with all the changes and can give you the best possible advice for your particular scenario Going it alone is really not a good option, and you should make sure that your attorney is paying attention to your needs and answering your particular questions Generic advice is not good enough . .There are many more questions that you probably have regarding bankruptcy, and you would do well to continue to research the process before visiting a lawyer This will help you become more informed so you can make better questions during your visit, and you may even save some money by not wasting time asking the most common questions Keep in mind that a lawyer charges by the hour, and saving money is a good idea if your situation is bad enough to consider bankruptcy .
Source: www.rsstnx.com

Basic Information About Bankruptcy
How will Filing for Bankruptcy Affect my Credit? . .Bankruptcy is a life changing event in any person’s life, with long lasting consequence For example, a record of the bankruptcy will appear in the Public Records section of your consumer credit report for the next ten years Having said that, however, consumers can and do seek and obtain credit after going through bankruptcy . .What Information will be on my Credit Reports? . .In addition to the public record of the bankruptcy, each of your creditors that were included in the bankruptcy will update your account to reflect the bankruptcy The exact information reported will vary based upon the history of the account at the time the bankruptcy is filed In general, most accounts should be reported as “Included in Bankruptcy ” Some may refer to the specific type of bankruptcy with remarks such as “Chapter 7″ or “Wage earner repayment plan ” . .After bankruptcy, the balance, current payment, and amount past due should all reflect zero dollars However, if you were late on your bills before your bankruptcy was filed, those notations may or may not appear on your credit reports The last part of this article discusses how to dispute false information on your credit reports after bankruptcy . .Will I be Able to Get Credit after Bankruptcy? . .For the majority of consumers that file for bankruptcy and either obtain a discharge (Chapter 7) or complete their repayment plan (Chapter 13), the answer is “Yes” It is likely that credit will be more costly than prior to bankruptcy, which may be reflected in higher interest rates, security deposits, or lower amounts of credit offered The two most important factors in being able to obtain credit after bankruptcy are 1) paying all of your bills on time after bankruptcy; and 2) the length of time that passes after your bankruptcy Obviously, you have control over the former, but not the latter Consumers can rebuild their credit after bankruptcy by using low limit or secured credit card accounts, and conscientiously paying them off each and every month . .How to Dispute False Credit Reports after Bankruptcy . .As noted above, post-bankruptcy credit reports should show discharged accounts as “Included in Bankruptcy” with a zero balance and zero past due Often these accounts are reported inaccurately, or have not been updated with the correct information Under the Fair Credit Reporting Act, consumers have the right to dispute false or incomplete information in their credit reports . .First, get a copy of your credit report Consumers can request their free annual credit report by writing to Annual Credit Report Request Service, P O Box 105281, Atlanta, GA 30348-5281 The request form is available at the annualcreditreport com website . .Next, send a written dispute letter to the credit reporting agencies Tell them that you filed for bankruptcy, and give them the bankruptcy court case number List the specific accounts and account numbers which were discharged Send your letter via certified mail, with a return receipt requested Keep a copy of your signed, dated letter, along with copies of enclosures . .If you cannot get false information deleted from your credit report, you may want to talk to a consumer protection attorney about your rights under the Fair Credit Reporting Act .
Source: www.rsstnx.com

Different Ways to File the Bankruptcy
A bankruptcy is the last option any businessman wants to take. They can cause a big dent on their credit rating and deeply ruin their reputation. But sometimes filing for bankruptcy is the only solution to get a person out of dire straits. An important thing when looking for the right form is location. Make sure it is for the state and whatever locality that you are in. State laws vary widely, so it is especially important to find the form for the state you live in. It is worthless if it’s for the wrong state. Also, make sure that the form is official. Look for government seals, or compare it with the others, and it will be easy to see whether it is or not. Filing with an illegitimate form won’t do you much good. There are various steps which you must follow when you want to file the bankruptcy. First, you have to fill out a bankruptcy form where you will provide your personal information and information on your finances, recent financial transactions, secured and unsecured debts, expenses, creditors, assets, and tax returns. This will serve as a petition. Upon filing, you will have to submit one original copy plus three other copies to your local United States bankruptcy court. You will keep one copy for yourself for reference. At this stage, you can ask the help of a bankruptcy lawyer to help you decide on what kind of bankruptcy you want to file. If you choose to file a Chapter 13 bankruptcy, you will be required to pass a repayment plan of three to five years. Research your options as it relates to filing. Some people choose to file without the aid of a lawyer. But it’s highly recommended to hire a lawyer. Your research should help you decide on a lawyer. In most cases, people who choose large firms to represent them will work with a paralegal and not the lawyer. Try to find a firm in which you have direct contact with your lawyer. In filing a bankruptcy case, do not use your credit cards. If you do so with the intent to file, a creditor can challenge the discharge of the debt owed or even your right to discharge any debt. If you obtained the debt knowing that you could not repay it, you may not be able to discharge that debt if the creditor challenges it through a lawsuit, or adversary proceeding, in your bankruptcy case. Immediately upon filing, there will be a provision to prevent creditors from contacting you or laying claim on your property for a month. After a month, the bankruptcy trustee will call for a meeting where you and your creditors will have to attend. This meeting is called the 341 meeting. This meeting usually lasts just five minutes. If both parties are not able to compromise and an objection is made, a judge will intervene. If a compromise is reached however, a notice from the court will be sent to you after four to six months discharging you from debts.Steve Buchanan writes article on many topics including <a href="http://www.bankruptcyinformations.com">Bankruptcy advice</a> and <a href="http://blog.bankruptcyinformations.com">bankruptcy information</a>.
Source: www.ArticlePros.com