Reading and researching online is the first step to figuring out how to declare bankruptcy. Typically one of the first questions asked when a debtor starts to think about bankruptcy is what is needed to take the first step to file for bankruptcy or how do they start or begin to file. In addition, to this basic research most people begin by researching if bankruptcy is a viable solution to remove their debt.
How to file bankruptcy using a different method or approach?
First of all, the traditional method of filing bankruptcy has the debtor contacting a bankruptcy lawyer or attorney and their lawyer. A Michigan bankruptcy attorney would counsel the debtor on their current situation and provide their legal advice on what chapter they are eligible to file under the bankruptcy code. If the debtor is comfortable with the attorney and thy pay the retainer fee and court filing fees the attorney would file the paper work after collecting all the debtors’ information about what debts they have. The second method to file bankruptcy is filing Pro Se or filing and filling out the paperwork yourself. Filing Pro Se is the cheapest way to file bankruptcy and is the most time consuming because the filer has to collect all the paperwork and make sure they fill everything out correctly or their case will be dismissed. However, filing Pro Se lets you avoid those costly bankruptcy attorney fees
How much does court filing fees cost for a dismissed bankruptcy?
The problem with a case being dismissed is you may have to pay the filing fees again which result in $299.00 for a Chapter 7, $1,039.00 for Chapter 11, $239.00 for a Chapter 12 and $274.00 for a Chapter 13 bankruptcy. Depending on your trustee you may be able to amend your paper work to make minor corrections. However, if you really messed up the case the trustee will not mess around with you and you will have to either refile or they will tell you to hire an attorney. So, if you trying to save money you should be confident in your ability to research of interpret laws and the ability to file your case online.
Basic methodology for declaring bankruptcy
If you are going to file you will need basic documents when you begin to file and some additional documents may be needed depending on the district and trustee in charge. You should have a copy of your SSN or equivalent ID card, you should have birth certificate. You will be required to provide pay stubs for at least 6 months preferably more and you will also need to provide the last two tax returns filed. In addition, you should have current bank statement ready to provide to the trustee. You need these entire documents regardless if you are filing by your self or using an attorney. Furthermore, if you are filing on your own behalf you not only need to take a pre credit counseling class according to the 2005 bankruptcy law, you also have to submit the case electronically using PACER.
In conclusion, the typical high school graduate can find all the information they need online if their case is not too difficult. However, if the case is truly difficult it may be better to quit paying the creditors and save money to pay an attorney.
