Chapter 7 Bankruptcy Timeline
A chapter 7 bankruptcy usually lasts a certain number of months from start to finish, if there are no issues. In many cases the greatest cause for delay is the client. Although many clients are timely in their responses to our questions and requests for documents, some tathan inordinate amount of time to get the information to us. However once, we have all of their information a bankruptcy petition can be filed in a matter of days. After a bankruptcy petition is filed, the debtor is required to attend the Meeting of Creditors (aka the 341a meeting) approximately one month thereafter.
What Is The Meeting of Creditors?
The Meeting of Creditors also known as the 341(a) Meeting is a meeting that is required in every bankruptcy case and occurs approximately 1 month after you file. Every person that files for bankruptcy is required to attend. Although your bankruptcy attorney will likely accompany you to the meeting, your bankruptcy attorney is not allowed to attend on your behalf. You must show up at the creditors meeting. The meeting of creditors usually takes around 10 minutes. You are required to bring your driver's license and proof of your social security number (usually social security card). And you are required
Bankruptcy and Credit Rehabilitation
A recent article in the Los Angeles Times discusses the impact bankruptcy has on credit scores. The newspaper goes on to state: Dear Liz: I had credit scores over 800 with no late payments ever. Unfortunately, a medical issue required me to charge $24,500 to a credit card. That led to a bankruptcy, which was discharged in July 2011. My scores dropped to 672, and they're currently around 680. I'm paying two unsecured credit cards in full each month plus an auto loan that was reaffirmed in bankruptcy. I would like to continue rehabilitating my scores by applying for another loan.
Student Loan Debt
Most people know that it is nearly impossible to get rid of student loan debt through bankruptcy. With the rising costs of tuition more and more people are being crippled with overwhelming student loan debt. An article by The Los Angeles Times details stories of individuals that have been financially crushed by their student loan debt. The article states: Brenda Small didn't think twice about taking out student loans to pay for nursing school in the late 1980s. She figured she could easily pay off the $20,000 bill — until an injury a few years later left her permanently unable to