Filing bankruptcy is a big decision. It can take years to recover from bankruptcy, and it can affect a persons credit rating for a long time. Filing chapter 7 is only an option when there is nothing else to do. If there is no way possible to repay the debt that has accumulated, and debt consolidation is not viable, a Bankruptcy Attorney in Des Moines can help. One of the first things to do when filing for chapter 7 is the Means Test. This test will determine whether someone qualifies for chapter 7.
Once the Means Test is complete a Bankruptcy Attorney in Des Moines will begin the filing process. Part of the initial filing process is for the client to attend a credit counseling course. The course is mandatory, and certification of completion is required as part of the paper work required in order to file for bankruptcy. Once the filing process is complete a hearing will be held. Depending on how full the docket is for the court it might take some time to have a hearing and get a ruling. If the filing status is accepted by the court there will be a stay.
The stay will allow the client to begin recovering from the debt and start to get their financial affairs in order. Any creditor will have to be referred to the debtor’s Bankruptcy Attorney in Des Moines. One of the most important things to know about the stay is that no further legal action can be taken against the debtor in an attempt to collect debts owed. There are some debts that are exempt from the stay, and the Bankruptcy Attorney in Des Moines will help arrange a payment plan for those debts. Once all debts are cleared and if necessary a payment plan is arranged, the debtor can enjoy their new financial status.
Although filing for bankruptcy is a big decision that will effect the debtors life for several years, it can be a big relief. The point of filing bankruptcy is to have relief. That relief comes from the knowledge that there is no longer a risk of losing a home, business, or other precious things. In order to fully understand the filing process, and how bankruptcy works, its important to consult with an attorney.
