John H. Ruby Bankruptcy Law Blog on Lawyers.com

How to File Bankruptcy

Monday, June 28, 2010 by John H. Ruby

The first step of Louisville bankruptcy filing is determining whether you are eligible to file.

Eligibility factors

The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA) limits the ability of people in higher income brackets to file Chapter 7. You must pass a means test which calculates your income and compares it to the median income of people in the state where you live. If your income calculation is greater, you are not eligible to file Chapter 7.

Chapter 13 limits the amount of debt you can file to no more than:

Unsecured debts—$336, 900
Secured debts—$1,010, 650

You must complete the credit counseling required by the BAPCPA through an approved provider within 180 days prior to filing bankruptcy in Louisville.

Legal representation requirements

The U.S. Federal Bankruptcy Court system requires corporations and partnerships to be represented by an attorney when filing bankruptcy in Louisville or anywhere in the United States.

Although individuals may represent themselves (called pro se), filing requirements are very technical and often difficult to understand. Regardless of lack of legal training, you are expected to adhere to the U.S. Bankruptcy Code and related laws and procedure. If you do not file correctly, you can end up being denied bankruptcy or have dischargeable debts that do not get discharged.

Required forms and information

Basic information required in bankruptcy filing includes:

Complete listing of all property owned.
List of debts you are seeking to discharge
Certificate of credit counseling completion
Form B200 (http://www.uscourts.gov/bkforms /bankruptcy_forms.html#200) outlines all the schedules and documents required when filing bankruptcy.

There are approximately 40 different types of forms used for bankruptcy, each with its own precise instructions the filer must follow exactly.

Best way to file bankruptcy

The best way to file bankruptcy in Louisville is through the guidance of a skilled bankruptcy lawyer. The U.S. Courts system (http://www.uscourts.gov/bankruptcycourts/ prose.html) even recommends that you obtain a lawyer when filing for bankruptcy. Judges do not tolerate filing errors and make no exceptions for persons filing pro se. Too many filing uncertainties exist without skilled legal guidance.

Posted at 16:40 PM

Topic: Bankruptcy