Being in debt and unable to make payments is stressful. Things like creditor harassment, lawsuits and damaged credit make it worse. When it comes time to seek debt relief through bankruptcy it is important to ask Chapter 7 bankruptcy preparation questions. Take the time to speak to a Fairfield OH bankruptcy lawyer about what to expect.
Chapter 7 Bankruptcy Preparation Questions
First, do I qualify? Not everyone qualifies for Chapter 7 bankruptcy. In order to be eligible, you must pass a means test. This test evaluates your income and family size against the amount of debt owed. If your score is less than the predetermined level for the state of Ohio then you may be eligible to file for bankruptcy. The means test can be complicated. Be sure to ask your Fairfield OH bankruptcy lawyer about it at your consultation.
Second, what are the pre-filing requirements? The Bankruptcy Code requires you to complete a credit counseling course prior to filing your petition. This must be done at a reputable Credit Counseling agency. You will submit your certificate of completion to the court within 180 days prior to the filing. The filing fee is also due prior to filing. Also, you are required to take a Debtor’s Education course after you file within 60 days of the 341 Meeting. This is a fact finding meeting with creditors that you must attend.
Last, what assets are protected by exemption laws? The state of Ohio has it’s own exemption laws and does not make federal bankruptcy exemptions available. However, the state laws do offer a range of asset protections under the law. Your home, vehicle, personal property and your fund accounts may be protected depending on their value. The assessment and possible liquidation of assets is a complicated process. Therefore, ask your Fairfield OH bankruptcy lawyer about how to best protect your assets under exemption laws.