Any debts you make AFTER you file your bankruptcy petition cannot be included in your bankruptcy. Any debts you made BEFORE you filed your bankruptcy petition, but forgot to include when you filed, can be added by your attorney. He/she will file an Amendment to whichever Schedule of the bankruptcy petition is effected by the additional debt(s). After your bankruptcy is over and the creditors have been satisfied, any lien you have is not automatically removed from your property. The attorney will need to be hired to remove the lien. Never make the mistake of running up debts on all your charge cards and then filing bankruptcy. You can be held responsible for any charges you made within the last ninety (90) days.

Debts That Cannot be Discharged

Some of the debts you owe cannot be forgiven in bankruptcy and will need to be repaid by you. Even if the debt is included in your original bankruptcy petition, any unpaid balance must be paid by you when the bankruptcy is over. The types of debts I am referring to include, but are not limited to the following:

• credit obtained by false pretenses or acts of fraud;

• all taxes, customs or duties;

• debts owed for fines and penalties to another government unit;

• student loans;

• child or spousal support;

• luxury items valued at $500 or more that were purchased sixty (60) days from the date you filed your original bankruptcy petition;

• cash advances of $1,000 or more that were made within sixty (60) days from the date you filed your original bankruptcy petition;

• debts made due to an act of embezzlement or larceny;

• debts owed a party where you maliciously caused injury to another;

• debts owed for the death or personal injury while intoxicated by drugs or alcohol.

The First Steps to Filing a Bankruptcy Petition

Take a file folder and put a statement from every creditor that you owe in it. If you don’t receive a monthly statement from the creditor, put the following information on a sheet of paper and put it in your file:

• Name and complete mailing address of who you owe;
• Your account number (if applicable);
• The name of who owes the debt (husband, wife or both);
• The total amount you owe this creditor;
• How much your monthly payments are;
• The date you originally went into debt with this creditor. (If you can’t remember the exact date, just an approximate year [i.e., 2001, 2002, 2003, etc.] will do);
• If the debt is for a credit card, record the last date you charged on this credit card. If you charged less than 90 days ago, you need to write down the amount you charged and the reason for the purchase.)

In the same file folder, also put in the following documents:

• Your current paycheck stubs;
• If you are unemployed, include copies of documents showing any income you receive(d) from unemployment, worker’s compensation, child support, SSI, social security, retirement, estate, etc.
• Mortgage and deed if you own or are purchasing a home or other real property (i.e., land, apartment complex, etc.);
• Copies of your car, boat, motorcycle, mobile home or other titles to motor vehicles;
• Copies of your tax returns;
• Copies of any court proceedings filed against you;

When you have put together your file, you will have most of the information needed to file a bankruptcy petition. However, the attorney, or whoever you hire to prepare your bankruptcy petition may also require other documents, depending on your particular situation, but they will let you know when you go to their office for the initial intake interview.

A bankruptcy petition is then filed in court. It contains several sheets of paper that includes schedules and forms. Each schedule and form relates to different items that must be filled out properly. Normally people choose to hire an attorney to prepare their bankruptcy petition, but some people hire independent paralegals, and some people purchase bankruptcy kits and attempt to do it themselves.

If you decide to hire an attorney, try to find someone who specializes in the field of bankruptcy. In other words, your best choice for an attorney is one who does nothing else but specialize in bankruptcy law exclusively. You will probably also find bankruptcy attorneys that also do divorce, wills, probate, and DUI; but if given a choice between the two — chose the attorney who specializes in bankruptcy.

Calling around to different attorney offices and asking them what they charge to file a bankruptcy is NOT the most efficient method of locating a good bankruptcy attorney. Attorneys who advertise cheap prices for filing bankruptcy petitions in your daily newspaper, often do not file all the schedules and forms at one time (which is perfectly legal) and will charge you additional money to file the rest of the petition within the 20-30 day allowance. After being “nickel-and-dimed” to death, you normally pay more money to this attorney than if you just hired a competent attorney in the first place.

The best way to locate a good bankruptcy attorney is to first determine if they specialize in bankruptcy. If you cannot locate someone in your area that specializes solely in bankruptcy, then choose an attorney who has been in the practice for at least five (5) years or more. (Just call your local Bar Association and ask for a referral.)

Your can hire a freelance bankruptcy paralegal to prepare your bankruptcy petition, but if problems come up (such as litigation with a creditor or the filing of Motions), it would be best to hire an attorney to do these things for you.

You can purchase a bankruptcy “doit- yourself” kit but unless you know how to prepare the bankruptcy petition in a manner to present to the court, these kits will do absolutely nothing for you except give you some practice at filling out forms.

In reference to the “do-it-yourself” kits, filing bankruptcy is not simply filling out a set of forms and handing them to the court. For instance, if you don’t know anything about exemption allowances you will not know how to include them and your petition will be rejected or you may lose something you own.