3 Items For Your Chapter 13 Filing Checklist
Posted on: 7 April 2020
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Chapter 13 bankruptcy is a particularly involved legal process. For that reason, it's wise to approach your situation with a checklist in hand. Let's take a look at the items every filer should verify they have before they submit a petition for relief.
Filing Fees
Under chapter 13 bankruptcy law, only attorneys are allowed to pay the fees by check or credit card. An attorney may also submit payments by money order or cash. Individual filers submitting petitions on their own are prohibited from paying fees by any method other than money order through the mail or cash in person. An individual filer may also ask the court to make an installment plan for the fees.
Currently, the fee is $310. Congress occasionally modifies this amount so it's a good idea to always recheck what the fee is by contacting a bankruptcy attorney.
Items to File Immediately
An original and a copy of your petition for relief should be included. If there is an eviction pending, you'll also want to include a statement about that. Social Security numbers for petitioners, usually either an individual or a married couple, should be included with a statement.
Finally, you will need to include a list of all the creditors who have potential claims against your assets. Be absolutely, positively, and completely sure that you get the name of every creditor. Any creditor that is not on the list will continue to have the right to pursue collection actions against you even after the court has ordered a stay.
What Must Be Filed Within 14 Days
Every person requesting a chapter 13 bankruptcy must send the remainder of their documentation within 14 days of filing an initial petition. This includes a host of more detailed items, such as documentation of your income, expenses, and disposable income.
You'll also have to provide a list of all the property you own. Additionally, any items of property you believe are exempt from the bankruptcy process must be noted.
Debtors must also send two lists of properties that have creditors have claims against. First, there should be a list of secured debts. These are things like mortgages and car loans where the real property is collateral claimable by the creditor upon default. Second, you must list all unsecured debts, items like credit card bills that aren't backed by anything except your full faith and credit.
Finally, you must include a plan. This is an explanation of how you'll pay your debts within three to five years once they've been reduced and restructured. For more information about chapter 13 bankruptcy, speak with a professional.