Finance

Documents You Need Before Declaring Bankruptcy

Filing for bankruptcy can seem like a daunting process, but it can be the best way for someone to truly gain a fresh financial start and release you from a mountain of debt. Meeting with an experienced bankruptcy lawyer is your first step, but before you head to that initial meeting, you will need to find the following papers and documents.

Filing for bankruptcy can seem like a daunting process, but it can be the best way for someone to truly gain a fresh financial start and release you from a mountain of debt. Meeting with an experienced bankruptcy lawyer is your first step, but before you head to that initial meeting, you will need to find the following papers and documents.

You first will need to provide proof of income dating back at least six months. If you are employed, bring your payroll stubs. If you are unemployed, then you need to bring any documents that show you have been receiving any type of compensation during your period of unemployment. You also need to bring along proof that you receive alimony or child support payments, social security payments and any other type of income.

Tax returns are another important document that you will need to bring. You need to have the returns for the last four years. These returns will give the bankruptcy court an idea of your financial history, as well as your current and past assets.

Filing bankruptcy is a way to erase or reduce debt, but the bankruptcy court will need an accurate assessment of what is owed. You must provide statements from all of your creditors, from car dealerships to credit card companies to other outstanding bills. Even if you owe money to a friend or family member but have no paperwork to document this debt, write down the amount and describe the debt.

You also will need to provide six months to a year of bank statements. Include statements from every bank where you have an account. If you have sold or purchased any investments in the last six months or so, you also need to provide documentation of that.

Once you have gathered and organized all of this important information, you should meet with a lawyer who is experienced in the bankruptcy laws of your state. Your attorney will look over the documents and can tell you whether or not you qualify to file for a type of personal bankruptcy. In addition, your lawyer also can help you find a credit counseling course. Completing this course and obtaining a certificate from the course is a requirement prior to filing for bankruptcy.

Raphael Mccollins loves writing and talking about bankruptcy issues. For further information about documents needed in declaring bankruptcy or to find help with bankruptcy Mission Viejo, or to find out more about bankruptcy Ladera Ranch lawyers, please check out the MikeDavidLaw.com site today.