How long does bankruptcy take?
August 2, 2010 Leave a comment
I often get asked this question and it depends on the chapter. A chapter 13 can take up to 5 years to pay off but the much more common chapter 7 is far shorter.
With a chapter 7 I usually speak to clients on the phone about their situation and then we meet if they want to go forward. I tell them which documents I need and we sign a fee agreement and I give them a questionnaire to fill out.
It usually takes a few weeks to collect the documents and enter all of the information in the software program to begin a chapter 7. If there is an emergency and the case needs to be filed quickly then a much faster filing can be done.
After that we usually meet and the debtor(s) sign the bankruptcy petition and schedules I file the case electronically. I send the required documents to the trustee after I file.
After that we get a 341 hearing with a trustee in 30 days. 60 days after that we usually get a discharge. So it is really only 90 days for the whole process from filing to discharge. In special cases there are issues that can hold up the process but these situations are rare.