5 Bankruptcy Papers

Introduction to Bankruptcy Papers

When an individual or a business is unable to pay their debts, they may consider filing for bankruptcy. The process of filing for bankruptcy involves submitting a series of documents, known as bankruptcy papers, to the court. These papers provide detailed information about the debtor’s financial situation, debts, and assets. In this article, we will discuss the five key bankruptcy papers that are typically required in a bankruptcy filing.

1. Voluntary Petition

The voluntary petition is the first and most important bankruptcy paper. It is a document that initiates the bankruptcy process and provides basic information about the debtor, including their name, address, and social security number. The petition also includes a statement indicating which type of bankruptcy the debtor is filing for, such as Chapter 7 or Chapter 13. The debtor must sign the petition, and it must be filed with the bankruptcy court.

2. Schedules A-J

Schedules A-J are a series of documents that provide detailed information about the debtor’s assets, liabilities, and financial transactions. These schedules are divided into different categories, including: * Schedule A: Real property * Schedule B: Personal property * Schedule C: Exemptions * Schedule D: Secured creditors * Schedule E: Unsecured creditors * Schedule F: Unsecured non-priority creditors * Schedule G: Executory contracts and unexpired leases * Schedule H: Co-signers * Schedule I: Income * Schedule J: Expenses

These schedules must be completed accurately and thoroughly, as they provide the court with a comprehensive picture of the debtor’s financial situation.

3. Statement of Financial Affairs

The statement of financial affairs is a document that provides information about the debtor’s financial transactions and activities over the past two years. This includes information about income, expenses, assets, and debts, as well as any financial transfers or payments made to creditors. The statement of financial affairs is an important document, as it helps the court to understand the debtor’s financial situation and make informed decisions about their bankruptcy case.

4. Means Test

The means test is a document that is used to determine whether a debtor is eligible to file for Chapter 7 bankruptcy. The means test calculates the debtor’s income and expenses to determine whether they have sufficient disposable income to repay a portion of their debts. If the debtor’s income is above the state median, they may be required to file for Chapter 13 bankruptcy instead.

5. Plan (for Chapter 13 Bankruptcy)

If a debtor is filing for Chapter 13 bankruptcy, they must submit a plan that outlines how they intend to repay their debts over time. The plan must be approved by the court and provides a detailed schedule of payments, including the amount and frequency of payments. The plan also specifies which debts will be paid in full, and which debts will be discharged.

📝 Note: It is essential to seek the advice of a qualified bankruptcy attorney when preparing and filing bankruptcy papers. They can help ensure that the documents are completed accurately and thoroughly, and that the debtor is eligible for the type of bankruptcy they are seeking.

In summary, the five key bankruptcy papers are the voluntary petition, schedules A-J, statement of financial affairs, means test, and plan (for Chapter 13 bankruptcy). These documents provide the court with a comprehensive picture of the debtor’s financial situation and are essential for a successful bankruptcy filing.