During the filing process, a bankruptcy attorney may come in very handy. He or she will help with bankruptcy forms file a two page petition including other schedules at the California bankruptcy District Court. Using the information gathered for the past two years, the schedules will question your financial history as well as recent transactions. Be sure to be truthful with all the information, otherwise it could nullify your application.
First, find out as much as possible about bankruptcy from an attorney on online or from an attorney in your area. Then, hire an attorney and schedule a free consultation with him or her. The next step is to pay your attorney fees. An attorney's fees must be paid before your case can be filed. Reviewing your bankruptcy petition is the next step. Your attorney will do this for you once your fees have been paid.
Many these days fear and or dread bankruptcy because they think that they will lose their reputation. However, bankruptcy can be a refreshing process because it can wipe away or at least eliminate, most of your debt.
Determine the type of bankruptcy that is best for you and your situation. A lot of people do not realize that there is more than one form of Florida Bankruptcy. Research each type before you decide to file. Discuss the benefits and downsides of both with a financial professional to help you make your decision.
Basically, what the means test looks at is the average monthly earnings for the last six months before the application is filed. You only qualify for Chapter 7 if your average salary for the last six months was less than the recommended median salary for California bankruptcy. If it is above the median, it is necessary that you complete the other means test, such as the means test exemptions to ascertain whether you still qualify for Chapter 7 or if should file for Chapter 13.
The US bankruptcy code speaks to the many ways debtors can deal with or have their outstanding debts dealt with under the law when they are unable to repay. As such there are many chapters outlining which rules, terms and conditions, can or cannot be applied in different personal and business debt situations. There is chapter seven, chapter 11, and chapter 13 bankruptcy to name a few of the more popular ones.
Recognize all the local and bankruptcy rules that may affect your business. As an example, any business that sells or distributes food in any manner could require a county health department permit. You will additionally run into a requirement for an air or water pollution control permits. These specifically apply to any business that burns something, discharges something into the sewers or waterways, or use any gas-producing product, like a paint sprayer. Just understand the regulation as a result of one fine may potentially burry your little business.
Even when filing bankruptcy, you need to have updated records where your income tax filing is concerned. You will be required to submit documents proving that you filed both state and federal income taxes for up to four years prior to filing for bankruptcy.