Florida bankruptcy
Filing bankruptcy is a legal process and should be filed after a lot of understanding and consideration. The florida bankruptcy Code was established in the year 1978 and the code was revised in the year 2005, which is known as the New Bankruptcy Law. There are six types of bankruptcy proceedings. Chapter 9 and Chapter 12 are for municipalities or for family farmers. Chapter 15 Bankruptcy is associated with foreign procedures. Besides this there are Chapter 7, Chapter 13and Chapter 11 bankruptcies.
For filing a bankruptcy under Chapter 7 you would have to qualify the means test. With the means test the court looks at your income for the past six months before you file the bankruptcy. The average of this income is calculated and then compared to the median income of the state. If the income is lower than the median income then the person files the bankruptcy under Chapter 7. If the income is more than the median income then other criteria are seen to determine whether the person should file bankruptcy under Chapter 7 or Chapter 13.
When a person plans to file florida bankruptcy the first thing that he should do is get all the paperwork ready. You are required to list out the details of your income sources and the financial dealings for the past two years. You are required to give a list of all your debt secured or unsecured and also a list of your assets. You are also required to collect the tax returns for the last two years, documents for the loans, deeds of any real estate transaction etc. Once all this information is assembled then you are required to file the bankruptcy. You can either do it on your own or with the help of a florida bankruptcy attorney. Once you have decided on your bankruptcy option then you should check out the list of properties that can be exempted from the seizure. For filing a bankruptcy in Florida either you or your bankruptcy lawyer would have to file a two-page request at the Florida district court. In these forms you are required to fill in the basic information about your income and the present financial status.
Ideally the cost of filing a Chapter 7 bankruptcy in Florida is approximately $274. You cannot escape paying this fee but you can have the option of paying it in installments. The cost of a Chapter 13 bankruptcy is $189. With a Chapter13 bankruptcy the debtor is allowed to keep the ownership of the property and the court would consider the case and allow the person to repay the debts at an interest free plan. The court gives a written document to the debtor, which would define the repayment plans and the duration of repayment. The repayment plan typically starts from 30 to 45 days of starting of the case. In some cases of Chapter 13 bankruptcy people take the help of a trustee in paying off the debt amount. The attorney also helps the debtor to plan out the repayment schedule.
In case you are planning to file a Chapter 13 bankruptcy then you are required to submit a payment plan. After you have met with your monthly expenses then whatever amount is left should be used for paying the outstanding bills of the creditors. After you have understood all the details of how a florida bankruptcy is filed it is advised that you take the help of a bankruptcy attorney. The attorney can be of much help to you while filing bankruptcy. After you have decided on your lawyer then arrange for a personal meeting with him and go over the case. The lawyer is supposed to ask you questions and is also supposed to answer all your queries. The lawyer will help you in deciding which chapter of the bankruptcy will be better in your case and he will also help you in finishing the means test prescribed by the Bankruptcy Abuse Prevention and Consumer Protection Act.
After the lawyer submits your formal request then you are contacted via mail about the meeting date with your creditor, which is called as a 341 meeting in terms of bankruptcy. This meeting is important; as it would make sure that you have been honest in answering the questions on the bankruptcy petition. Besides it also makes sure that you have understood all the conditions and have decided to file a bankruptcy. Besides this it is important that you should have met your lawyer before this meeting so that he can go over all the debts and the situations in the list. You are supposed to mention a list of your assets. Besides the lawyer would also have a set of sample questions that you can rehearse over before going in for the meeting. On the 60th day after your 341 meeting with the creditors is the first deadline for the creditors to file lawsuits to confront the discharge of debts. If they do not file any lawsuits then you would get a notice of discharge of debt under Chapter 7 bankruptcy, which means that you have no compulsion to pay back the discharged debt. In case you have filed a Chapter 13 bankruptcy case, then you will receive the notice of discharge about 30 to 60 days after your final payment has been made and the trustee makes certain that your payment plan has been monitored and accomplished.
Filing florida bankruptcy can be an easy task if you have the assistance of a good lawyer. The lawyer can help you in understanding the bankruptcy procedure and can handle the whole process for you.
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