Bankruptcy can give you a fresh financial start. With so much at stake you'll probably want a lawyer's help. Once you've selected a lawyer your next step should be to meet about your case. The meeting will determine if filing bankruptcy makes sense.
There are different types of bankruptcy, and the one you choose depends on three factors: your income, property and debts. Be ready to meet with a lawyer, and your next steps, by gathering needed information and documents. Here's some basic information about meeting with any lawyer, plus specifics for bankruptcy cases.
Some Basics for Any Lawyer Meeting
Preparation Is Key for Meeting Success
It can be a big waste of time for both you and the lawyer if you are not prepared for your first meeting. Being unprepared may also end up costing you money because it will take longer for the lawyer you hire to get up to speed on your legal matter.
The lawyer will want to know basics such as who you are and how to contact you. You may be asked about your personal and business backgrounds. The lawyer will try to start understanding your situation. Help by organizing, in writing, information you think may be important. Have related documents ready.
Your lawyer may have you fill out and return a questionnaire before your meeting. Complete and return it by the date requested, and send along copies of any needed documents.
Checking for Conflicts of Interest
Before you get too far into a meeting or conversation, the lawyer is going to want to know about possible conflicts of interest. If the lawyer or the lawyer's firm represents anyone on the other side of the case, he or she will have a conflict and will usually not be able to represent you.
Don't Be Afraid to Ask Questions
Prepare a list of questions to take with you to your first meeting. You have to feel comfortable with your attorney. In theory, no question is too silly to ask. Keep in mind, though, that you do not want to scare a lawyer out of representing you.
Remember that your lawyer is working for you. You want someone who is skilled, but you also have to get along with your lawyer. You can get some questions answered while starting to get familiar with the lawyer, and the exchange can help you decide if your choice is right.
Information to Bring for a Bankruptcy Case
Here's a list of information you might be asked to bring to the meeting. If the lawyer has sent you specific instructions in advance, follow those.
Income and Assets
- Pay statements for you and your spouse for the last four weeks/two pay periods
- Statements for your bank and brokerage accounts and other stock or bond information
- Information about your motor vehicles and any special modifications or accessories
- Copies of deeds to your home and any other real property you own
- Copies of your past two tax returns and other records of your gross income
Debts and Expenses
- Recent bills or statements from all your creditors or a list of creditors and the amount you owe
- All notices you've received for unpaid taxes
- Copies of property tax bills or information about unpaid property taxes
- Statements and balances for loans secured by your home or other property
- Information about your car loan or lease, including interest rate, term and balance
- Information about judgments or current lawsuits against you
- Business owners should bring business tax returns and records or information about income and expenses. Bring property and equipment lease information, as well as information on the value of inventory, equipment and accounts receivable
Other Special Circumstances
Certain events and relationships can affect the type and timing of bankruptcy best suited to your situation. Provide any information you have about:
- Any loans you co-signed
- Legal claims someone may have against you, or you may have against someone
- Co-ownership of property with parents, siblings, children or other family members
- Property you have transferred to a trust
- Transfers of money or property to anyone in the last year, including gifts
- Any inheritance you are due or may be likely to receive in the next year
- Tax refunds you are owed or expect
Being ready for your first meeting with a lawyer is also real progress in your bankruptcy case. You can make decisions with confidence and take control of your situation.
Questions for Your Attorney
- What's the difference between Chapter 7 and Chapter 13?
- I'm an independent contractor and my income fluctuates. How does that affect the type of bankruptcy I'll file?
- Which type of bankruptcy takes less time?