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Debts To Include When Filing For Chapter 7 Bankruptcy

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There is a lot of paperwork involved when filing for Chapter 7 bankruptcy, and this is one of the reasons you need a lawyer to assist you with your case. Every document in your case is important, including the schedules you must fill out for the debts you owe. When you file for Chapter 7 you will be required to list your debts. Here are several things you should know about listing your debts in your Chapter 7 case:

You need to list every debt you have

When you discuss your case with a bankruptcy lawyer, he or she will tell you that you will be required legally to list every debt you have, and this even includes debts that may not be discharged in your case. You cannot simply pick and choose what debts to list and which ones to omit. You must list every debt you have that you are aware of. Some people will ask if they can omit a credit card debt to keep the credit card. This is not possible. All your credit card accounts must be listed, and they will all be closed when you file for Chapter 7.

Failing to list a debt could create problems

It is important to understand that failing to list a debt could create problems. If you intentionally omit one and the court finds out, your case could be dismissed for fraud. If you forget to list one, you take the risk of the debt not being discharged in your case. If you file and then realize you missed a debt, you might be able to add it, but you must make sure you do this before the deadline. Your lawyer can help you determine when the deadline is for adding debts to your case.

Ways to find out what debts you have

To make sure you list every debt you have, there are two main methods you should use. The first is to look through all the paperwork you have at your house to find statements for all your debts. The second method is pulling a credit report to see what debts are listed there; this is something your lawyer will do when you meet with them.

If you are in a position in which you cannot pay your bills and are afraid of what might happen, meet with a bankruptcy lawyer to find out if Chapter 7 might be a good option for you.


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