how easy is it to go into bankrupcy?

Question

how do you stand when married and need to go bankrupt...what happens ?

Answer 1

Very.

For more information try here.

http://www.fool.co.uk/debt/articles/ivasandbankruptcy.htm

Answer 2

if you are in the uk, you need to go to a county court and put in a proposal for bankrupcy this costs around £300, any debts that you share jointly with a spouse you would remain responsible for. If you own your property it would be suggested that you sell your property so debters can be paid if you have no equity within the property bankrupcy could be considered however this depends on the amount of debt you have mortgage arears second charge mortgages and child maintainance do not count, you would not get any credit for approx 3-4 years after hope this helps

Answer 3

Call your local County Court and tell them you wish to file for bankruptcy, do not engage a lawyer that is another debt you won't need. The Court will tell you whom and where to go to file your bankruptcy petition. Once bankruptcy is granted you will made bankrupt for 12 months. Once your 12 months is up you are solvent again and all debts are wiped. You may have a little difficulty getting finance, but not mortgage as many lenders now take ex-bankrupts on good rates. So cheer up every cloud has a silver lining and you can sleep of a night. good luck

Answer 4

Where are you? In US its fairly easy, and if you have an uncomplicated set of finances you can do it yourself and save a lot of money. The average bankruptcy attorney is charging about $1000 for a simple bankruptcy these days. There are online programs that will charge you a couple of hundred dollars to automatically help you fill out the forms that will save money.

To declare bankruptcy and be eligible for a discharge your debts must exceed your assets--that means all your debts must be worth more money than everything you own or are owed, minus certain exemptions. The exemptions are different in each state and some states are more generous than others. The online programs are very good at telling you which exemptions are available to you. Many states allow you to keep part of your house equity, one automobile if you need it for work and certain amounts of personal property up to a certain value.

You fill out forms called schedules--one for your secured debts (those are debts where you have put up collateral--like a mortgage or a car loan), another for unsecured debts (things like credit cards, personal loans not collateralized by giving an interest in property) and then a long schedule for personal property. Remember also that your personal property includes bank accounts, CDs, IRAs and 401(k) Plans. trust income and salary are included as well on the asset side. On the expense side the amount you pay for rent and other living expenses are calculated and also any rent you owe.

You file the petition and schedules with an affidavit that they are true and pay the fee to the Bankruptcy Court. This is a federal court that sits in the federal district where you reside. The fee is just under $200 and you usually must pay this fee, rarely is it waived.

The next thing that happens is the court publishes a notice that you are going bankrupt and sends a notice to all the creditors you have listed in your schedules...the notice is called an Automatic Stay Order. This order prevents them from suing you and calling to try to collect the debt. It also allows them to come into court and attempt to satisfy the debt you owe them by taking some of your property. They cannot take property that is secured to another lender or that which is exempt. Usually if its unsecured debt like credit cards, the creditors never even show up for a meeting of the creditors. If they do, they come up with a plan for liquidating your property to satisfy their debts....the court or more accurately the US Trustee decides if this plan complies with the law and whether it is accepted by the court. If not the creditors can attempt to come up with another plan or go into court for a hearing before the judge.

If you have no significant property chances are the creditors won't try to take anything and then write off what you owe them. The secured creditors will probably take whatever property you pledged in exchange for the loan--like the real estate for the mortgage and the car for the auto loan.

If the US Trustee determines you are eligible, he will call you in for a meeting to question you about the petition, tell you if any creditors showed up to make a claim, etc... 90 days after the meeting with the trustee you will usually get whats called a discharge order. This order declares you bankrupt, wipes away your debts and puts the world on notice they can't go after you for the debts scheduled and any other debts incurred before the bankruptcy. The whole process from filing to discharge is usually no more than 120-180 days.

It will stay on your credit report for 10 years and for the first 4-5 you will find that nobody wants to lend you money of any sort except at very high interest rates. Usually the first lenders to start offering you loans are the auto dealers because they know they can always repossess your car if you default.

Hope this helps....

--a lawyer.

PS--its not the worst thing in the world, its no longer a source of shame for most people. Its very common. Its meant to give you a fresh start and if you have little property, its easy and you usually end up keeping most of your personal things. I don't agree with the person who says see a credit counsellor. They usually get paid and many work for the credit card companies through a so called foundation or not-for-profit.

You should also know if you don't qualify for a bankruptcy you can convert your petition to a reorganization of your finances then you have to submit to the court a plan to repay your creditors within I think 5 years. If you end up not being able to do that, you can then convert back to a straight bankruptcy petition. Under the new law you may have to actually see a credit counsellor before you can proceed with the bankruptcy. Also, you can file for bankruptcy every 7 years, there is no limit to the number of times, but you can only do it every 7. That means it is possible to have 2 bankruptcies on your credit report since the record stays on the report for 10 years. Also, your creditors may keep a record in definitely, so after you go bankrupt you may find some creditors will never lend to you again.

Answer 5

You basically have to get a lawyer who helps you file for bankrupcy, then a judge has to approve it. The worst part is that the bad credit will follow you around for up to ten years.

I don't recommend it. It would be better to find a credit counselor who can help you dig out of your financial hole.

Answer 6

Its easy, if you live in the UK, just go to your local citizens advice bureau, and tell them you want to go bankrupt, they will advise you, and its very cheap.

Answer 7

very easy cost about £120 and you can obtain a form from your local County Court. or Visit www.courtservices.gov.uk

Answer 8

1st what country do you live in..i do believe the laws are different in each country..if you are in uk ill be able to help and tell you exactly how to go about it. and what to do.

Answer 9

i donot know