How long does bankruptcy take?

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.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: