Before you can file bankruptcy, you need to do some things to get ready. This To Do List tells you the things you should do before starting on your forms:
You may decide after going over this checklist that you want to hire a bankruptcy lawyer if you can. If you have a limited income, contact the legal aid program for the county you live in.
Before filing read the “Notice Required by 11 U.S.C. § 342(b).” The notice talks about different types of bankruptcies you may file and provides some tips:
To fill out your paperwork, you need copies of your credit reports. Get them from the 3 credit bureaus. They are:
You can ask for free copies of your credit reports online. The only truly free credit report website is: www.annualcreditreport.com. Some websites provide 1 or 2 reports for free, but many other websites that say they are free when they are not free. They end up charging your credit card for monthly fees.
Getting your credit reports can take a while, so ask for them now. Be sure to ask for copies of all 3 credit reports. Different reports often have different information. If you can get online, ask for your credit reports right now. If you can’t get online right now, plan to go somewhere that has free internet access. You can get online for free at public libraries. Ask for copies of your credit reports as soon as possible.
You can also ask for your credit report in writing through the mail. If you moved in the past few years, it might be hard to get your credit report online. The credit bureaus use your address to check that you are who you say you are. If your address has changed a lot, they may not be able to make sure it is you. This is when you can ask for your credit report in writing. There is a form for you to use at: https://www.annualcreditreport.com/manualRequestForm.action.
You need to know what you owe on all your debts. The amount you owe should be listed on the last statement from the creditor or debt collector. If you don’t have your last statement, use the most recent balance that shows on your credit report. The total amount you actually owe at the time of filing your bankruptcy is what is discharged (gotten rid of) in the bankruptcy. It might be different from the amount listed.
If you owe a court judgment or criminal fines, call the circuit or district court clerks in any court where you think you might have been sued or owe a fine. If you give your name, they can run a search for you. Ask for the current balance and case numbers.
If you owe child support or alimony, get copies of the most recent court order and most recent statement from any child support collection agency.
You may also owe debts that are not on your credit report. Some creditors don’t report to credit bureaus. For example, many doctors, landlords, or other creditors do not show up on credit reports. Court fines may not show up. Private people often do not report to credit bureaus either. If you know you owe money to a business or a person, list it on your bankruptcy, even if it is not on your credit report.
You may have debts that have gone to collection, but you don't know what you owe now if it’s not on your credit report. Call the creditor or collector and ask for a statement. The statement should say how much you owe. It should say which business turned it over to collections. You need to know this because you need to list both the original creditor and any debt collectors that later tried to collect the debt. You can ask for this information over the phone, but it is best to ask in writing.
If you forget to list a debt, it is still discharged if you have filed a “no asset, Chapter 7.”
If you haven’t filed your tax returns for the past 2 years, do it now! You can’t file bankruptcy until this is done.
You can probably file your taxes for free. Try to use a free tax preparation service. They don’t take part of your tax refund as payment like a refund anticipation loan does. You get your entire tax refund back.
In the year after the year you file, you have to give the Trustee a copy of your tax return. The Chapter 7 Trustee may take a part of your refund, depending on when you filed for bankruptcy. You can’t spend any of your tax refund until the Trustee says you can.
You have to go to a credit counseling appointment before you can file bankruptcy. You can choose to do any program as long as you get a Credit Counseling Certificate. You can do the appointment online or over the phone.
Find a list of approved credit counseling agencies for Kentucky at https://www.justice.gov/ust/eo/bapcpa/ccde/CC_Files/CC_Approved_Agencies_HTML/cc_kentucky/cc_kentucky.htm
Important: Your counseling certificate is only good for 180 days! If you don’t think you can be ready to file in that time, wait to do your counseling.
Below is a checklist of the many documents you have to give to a Bankruptcy Trustee after you file bankruptcy. These documents must be filed at least 14 days before your meeting. Go through the list now.
If a document applies to you, you must get a copy of it. It may take some time to get all the documents you need, especially if you need to get them from someone else. Start getting the documents now. That way you are not waiting on them later and holding up your bankruptcy.
Documents you need include:
• personal property you currently own
• personal property that you sold or had repossessed in the past 4 years
• property you plan to sign back over to the lender after filing bankruptcy
If you don’t have copies of the documents they ask for, check with your lender.
Get copies of all these documents and put them in a safe place. You need these documents to fill out your Official Bankruptcy Forms.