Before filing for Chapter 7 Bankruptcy protection, there are a few things to think about. Here are a few things:
(1) All debtors filing must undergo pre-petition financial counseling and obtain a certificate of completion that gets filed with the bankruptcy Court. Here is a list of approved bankruptcy counseling agencies.
(2) You will want to think about which exemptions you will be seeking. In California there are two different sets of exemptions that will affect the final outcome of the bankruptcy.
(3) You will want to consider whether or not it is the bet time to file, or whether there is a better time to file Chapter 7. The Courts will look to your income 6 months prior to filing.
(4) You may want to consider making payments or keep making payments to debts that will not be discharged in chapter 7 (student loans, child support payments, criminal fines or restitution etc.)
(5) You may want to consider moving your assets (ex. bank accounts / 401k’s) out of banks and financial institutions you owe money to. If you file chapter 7 bankruptcy, we have seen them try to seize or freeze your accounts for their benefit.
These are just a few Chapter 7 pre-petition planning items to consider.
To discuss strategy in your chapter 7 bankruptcy case contact us at (877) 276-5084.
