Understand the Process Before Making the Decision
Chapter 11, Chapter 7 and 13 Bankruptcy
Before you decide whether or not to file for bankruptcy, you should thoroughly understand your options and the process. My name is Roger Glenn, and I am a one the co-founders of the law firm Glenn & Glenn, L.L.P. I can help you determine whether bankruptcy is a good option for your debt relief, and if it is, I can help you through the process.
There is a mistaken belief that the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 made it impossible to file for bankruptcy. Bankruptcy law changed, but most people and businesses are still able to file for a Chapter 7, Chapter 13 or Chapter 11 bankruptcy. One of the major changes is that the law created a means test to determine whether someone can file for Chapter 7 bankruptcy.
The Chapter 7 means test states that your current monthly income (CMI) must be less than the Census Bureau's median income for a family of your size in your state.
Means Test and the Steps to Bankruptcy
Beware of the online calculators to determine whether or not you pass the means test. They seem simple, but if you leave out a detail, you could mistakenly believe either that you do or do not pass the means test.
The steps to bankruptcy at Glenn & Glenn, L.L.P., are as follows:
- Complete the questionnaire that I have provided. It is very detailed. You must be current on your tax returns, and sole proprietors will need to provide an operating statement.
- Don't leave anything out. A forgotten asset cannot be protected and a forgotten debt cannot be liquidated.
- File a petition for bankruptcy. I take care of all the paperwork for you.
- Attend a meeting of creditors (called a 341 meeting). This is a mandatory meeting, and I will guide you through it.
- Discharge (liquidate) assets and debts. This step in the process varies depending on whether you are filing for a Chapter 7 or a Chapter 13 bankruptcy.
A Chapter 11 business reorganization follows a very different process.
The Right Lawyer for a Difficult Time
The New Paltz bankruptcy process attorneys at Glenn & Glenn, L.L.P., are available to discuss your case. For a free initial consultation, please call 845-256-8396 locally or toll free at 877-862-7197 or send an e-mail to Glenn & Glenn, L.L.P.
