Some senior human beings hesitate To look for bankruptcy overhaul due to the certainty that financial problems are private affairs. As a by-product, the senior's Obligation continues to cultivate, as his mode diminish. Federal laws dictate bankruptcy, which creates a uniform procedure. Seniors with inappreciable to no assets, whose individual appearance of money is social security, are guarded from judgments. Bankruptcy trustees cannot deposit social security, pensions or retirement plans such as 401(k)s or 403(b)s in South Carolina unless the Obligation involves federal taxes, kid agency or Undergraduate loans. Seniors who case bankruptcy can alleviate badger by completing and submitting the Correct forms.
Instructions
1. Annex schedules "A" finished "J" for Leaf 7 or 13 bankruptcies. To attain free ride bankruptcy forms evening the U.S. The Bankruptcy Abuse Prevention and Consumer Safeguard Detail of 2005 requires that all filers pass a money research. Wealth must fall below the South Carolina median resources to information a Folio 7. Whether Emoluments exceed the mode check guidelines, the petitioner must string a Sheet 13. As of Aug 2011, the median resources for a household of one is $37,055.
2. Pass the South Carolina Method Analysis. Filers no longer bear the choice of choosing if to data a Sheet 7 or 13. Courts website or a native lib. Contact South Carolina legal services and entreat approximately bankruptcy forms and support. Bankruptcy lawyers contribute the forms as atom of their bankruptcy assistance. The forms are not available wrapped up the bankruptcy court. Money cannot exceed $50,500 for a household of two, $52,738 for a household of three and $63,074 for a household of four. Add an extra $7,500 for Everyone supplementary household member over four. Folio 7 bankruptcy wipes outside all eligible Obligation. Sheet 13 is a repayment plan that allows filers to repay debt over a period of three to five years. Generally, a senior citizen on a fixed income qualifies for a Chapter 7.
3. Complete mandatory credit counseling. All South Carolina bankruptcy petitioners must complete credit counseling with an approved U.S. Trustee Office agency. The U.S. Department of Justice provides a list of approved agencies online. Seniors may also find an approved agency in the local phone book or legal services office.
4. Gather check stubs, the last four years of tax returns for a Chapter 13 and the last two years for a Chapter 7. Request a copy of your credit report to ensure the inclusion of each debt. Filers may receive a free annual credit report from Experian, Equifax and TransUnion through federal-authorized AnnualCreditReport.com.
5. Complete the proper forms based on the type of bankruptcy. Chapter 7 and 13 filers must provide a complete list of all creditors along with the amount owed and type of debt. Include all sources of income, the amount and the pay frequency. Debtors must also provide a full list of all property in which the debtor owns or holds an interest. Include all monthly living and medical expenses.
6. Create a repayment plan. List all debts in order of priority. Petitioners must pay priority debts, such as taxes and bankruptcy costs, first. Secured debts, such as houses and cars, come next. List unsecured debts last. Debtors must pay secured debts in full, unless the creditor accepts other repayment terms. Secured creditors must receive the collateral value unless the debt was incurred within a certain time frame before the bankruptcy filing. Debtors do not have to pay unsecured debts in full as long as the debtor pays an amount equal to what the creditor would receive if the debtor's assets were liquidated under a Chapter 7. (Ref. 5, The Chapter 13 Plan and Confirmation Hearing)
7. Submit the fee to the Charleston, Columbia or Greenville/Spartanburg U.S. Bankruptcy Court. As of August 2011, the Chapter 7 and 13 filing fees are $299 ad $274, respectively. (Ref. 2 and 8) Complete Form B3A to pay the filing fee in four installments or Form B3B to request a waiver of fees. (Ref. 2) Chapter 13 filers cannot waive fees. (Ref. 3)
