What Do I Have To Do Before I File For Bankruptcy In California?

It is always best to consult with an attorney. Consultation for bankruptcy is generally free. In order to have a comprehensive consultation, you should readily know all your assets, such as bank accounts, retirement accounts, car’s make model year and other properties you have an interest in, including intellectual property or business interest. You will need to gather supporting documents of your income, your financial accounts and tax returns. Generally, you need to have ready 6 months of proof of income, 2 months of bank statements and 2 years of tax returns. Additionally, be knowledgeable of your household expenses like mortgage and related expenses, rent, utilities, car payments, food, gas and insurance and other expenses necessary for your living.

Should I Pay Back Any Family Or Friends I Owe Before Filing For Bankruptcy?

No. Such persons are considered “insiders” and paying them ahead of bankruptcy can be considered a fraudulent transfer. All creditors, even “insiders” of the same status, must be treated the same and be paid OR not paid, in the same way. You should discuss with an attorney on what options you have, what assets and payments can be structured and what your timetable would be before filing bankruptcy in order to properly have your finances in order before filing bankruptcy.

When Must I Complete The California Pre-Bankruptcy Credit Counseling Course?

The credit counseling course must be completed before you file bankruptcy. Not having it completed prior to the bankruptcy will usually be cause for immediate dismissal. Otherwise, you must have clear and convincing evidence supporting that the bankruptcy filed was on an emergency basis and there was no adequate time to complete the course. It is simply easier to complete the course and get the certificate issued prior to filing bankruptcy. The course is generally available online and only 90 minutes long with the certificate issued within minutes – find one that is open 24 hours a day.

How Long After Filing Bankruptcy Will Creditor Calls Stop?

Creditors, by operation of law, must cease all attempts to collect a debt when a bankruptcy stay is imposed. For most, the stay is imposed automatically as of the date and time your bankruptcy is filed. The court generally sends notice via mail so it may take a few days for creditors to have actual notice. However, once you are retained by our office, it is advised that you simply pick up the phone and tell them you have retained our office. They will then confirm with our office that we represent you and they will cease contacting you directly.

For more information on Pre-Bankruptcy Filing In California, a free initial consultation is your next best step. Get the information and legal answers you are seeking by calling (866) 651-6118 today.