Bankruptcy Filing Procedure

Bankruptcy filing is a legal process that helps individuals or businesses unable to pay their debts. It begins by choosing the type of bankruptcy to file, usually Chapter 7 or Chapter 13 for individuals. Next, the filer must gather financial documents, complete a bankruptcy petition, and submit it to the court. This includes listing debts, assets, income, and expenses. After filing, an automatic stay halts creditors' collection actions. A meeting with creditors follows, and the court reviews the case, ultimately discharging debts or creating a repayment plan. Legal advice is often recommended to navigate the process effectively.