What is the process for filing for Chapter 7 Bankruptcy?

Filing for Chapter 7 Bankruptcy in North Carolina begins with the debtor (person filing for bankruptcy) filing a Voluntary Petition for Relief from Creditors. This document is the first step in the process and outlines some basic information about the debtor. The petition will include the debtor’s address, occupation, income, debts, property, and any other pertinent information. The debtor will also need to provide a statement of financial affairs, which will detail all their assets, liabilities, income, and expenses. The statement of financial affairs must be completed and signed before the voluntary petition can be submitted. Next, the debtor must attend a meeting of creditors (also known as a 341 meeting). This meeting is usually scheduled by the court-appointed trustee and is attended by the debtor, the debtor’s attorney, and the trustee. During the meeting, the trustee will question the debtor about their assets, debts, and other financial information. After the meeting, the trustee will collect all the documents needed to complete the bankruptcy process. The debtor must also complete a financial management course. This course is designed to educate the debtor on budgeting and money management. Once the course is complete, the debtor will receive a certificate of completion from the court. After the voluntary petition, meeting of creditors, and financial management course, the debtor can seek a discharge of their debts. This is the final and most important step in the process. The court will review the petition and decide whether or not to grant the discharge. If the discharge is granted, all remaining dischargeable debts will be wiped away and the debtor can begin to rebuild their credit.

What is the process for filing for Chapter 7 Bankruptcy?

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