For many people who have outstanding bills in their business, Chapter 7 might be the only way out and your way to a fresh start. However, even though there might finally feel as if there is an end in sight, bankruptcy is a process all of itself and it can take some time to file for bankruptcy and finally wipe out your debt. Chapter 7 bankruptcy is known as a process that takes a shorter amount of time than any other filings but you should still expect it to take a couple of months before you receive the results you were waiting for. Today, we would like to walk you through the timeline of events so that you have a better idea of what you should expect.
Timeline for Chapter 7 Bankruptcy
How long will it take for you to receive a discharge after you file for Chapter 7 bankruptcy? Here are some steps you will take up until it actually happens:
Gathering documents: The first step that you will take is locating all of your financial information so that you can be forward about your income and all of the information that creditors will need in the future. Getting these affairs in order will only help you in the end. You will take a closer look at all of your bills, which includes aspects like banking, retirement, investment account information, paystubs, tax returns, and other related aspects.
Preparation of paperwork: You will fill out all of your official bankruptcy forms. There are many forms and these could cover as many as 50 pages, which could be time-consuming and confusing. However, you are not alone in the process when you have the help of an attorney on your side.
Credit counseling: Everybody who files for Chapter 7 bankruptcy will have to go through the process of credit counseling. After this requirement is complete, you will move forward onto the next step.
Filing of paperwork: After your forms have been finished and the counseling requirement has been met, the paperwork you will need and a certificate will be filed with the clerk as well as any payments you must give at the time of the filing. This is the part that will help you financially until your bankruptcy is complete, because the automatic stay will start working. The \”stay\” is the order that stops most creditors from collecting anything from you, which could last quite some time while the process endures.
Notifying creditors: The court will take a few days to send out what is known as a “Notice of Chapter 7 Bankruptcy Case” to all creditors involved in your case. The notice will include various types of information such as the time and location of the 341 meeting of creditors, filings, and objection notices. After your filing date, it will be about three weeks until you go to your meeting.
Attending the meeting of creditors: You will speak with the creditors about the accuracy of everything that appears in your bankruptcy petition, verification of who you are, and any questioning that might occur. These meetings are short and straight-forward in many cases.
Discharge: The court will now order a discharge, which will erase all of the debt that qualifies in the midst of your bankruptcy case.
How an Attorney Can Help with Your Bankruptcy
If you are filing for Chapter 7 bankruptcy, you might be feeling scared or concerned, especially if this is your first time doing so. Many people have said that the process is quick and easy when you have an experienced attorney on your side, with many receiving their discharge within two to three months. For others, complications might arise. This is why it is imperative to have an experienced bankruptcy attorney on your side to answer any questions you might have along the way. Please contact us at MJ Watson & Associates to find out how we can assist you at 817-877-2861.