Collect Your New Jersey Bankruptcy Documents. ... Take a Credit Counseling Course. ... Complete the Bankruptcy Forms. ... Get Your Filing Fee. ... Print Your Bankruptcy Forms. ... File Your Forms With the New Jersey Bankruptcy Court. ... Mail Documents to Your Trustee. ... Take a Debtor Education Course.More items...•
Eligible filers are able to file Chapter 7 for free. If your household income is less than 150% of the federal poverty level, you can ask the bankruptcy judge to waive your court fees with a simple application submitted along with your bankruptcy petition.
If you file a Chapter 7 case and owe money on your house or car, you can keep the house or car if you agree to repay the underlying loans, and: The monthly payment is reasonable; The property is necessary to support yourself and your dependents; You are current on the payments; and.
What Debts Are Discharged in Chapter 7 Bankruptcy?Child support.Alimony.Student loans.Some tax debt.Homeowners association fees.Court fees and penalties.Personal injury debts you owe due to an accident while you were intoxicated.Unsecured debts that you intentionally left off your filing.
Contact utility company Trust Funds Water, gas and electricity suppliers often run Trust Funds that are specifically set up to assist customers with their fuel costs, and some will accept applications for help with bankruptcy fees. You can obtain an application form by calling the customer services number on your bill.
Background. A chapter 7 bankruptcy case does not involve the filing of a plan of repayment as in chapter 13. Instead, the bankruptcy trustee gathers and sells the debtor's nonexempt assets and uses the proceeds of such assets to pay holders of claims (creditors) in accordance with the provisions of the Bankruptcy Code.
Chapter 7 comes with a filing fee of $306 and this is when you surrender your non-exempt assets. Those assets will be sold and the proceeds will be used to pay your debts. Chapter 13 comes with a filing fee of $281 and this is when you make scheduled payments on a created 5-year payment plan.
Most consumers opt for Chapter 7 bankruptcy, which is faster and cheaper than Chapter 13. The vast majority of filers qualify for Chapter 7 after taking the means test, which analyzes income, expenses and family size to determine eligibility.
What assets are protected from creditors in New Jersey? The federal exemptions protect your house, car, personal property, retirement account, Social Security benefits, and many other assets. A bankruptcy lawyer can use some legal loopholes to maximize these exemptions.
Unsecured debts wiped out by Chapter 7 bankruptcy include credit card debt, medical bills, and gasoline card debt. However, you can't wipe out all unsecured debt.
Frequency of Denial While some Chapter 7 bankruptcy cases are kicked out of court before discharge, statistics indicate that this isn't the norm. According to the U.S. Courts website, when Chapter 7 cases are correctly filed, they result in a successful discharge of debts more than 99 percent of the time.
Additional Non-Dischargeable Debts Certain debts for luxury goods or services bought 90 days before filing. Certain cash advances taken within 70 days after filing. Debts from willful and malicious acts. Debts from embezzlement, theft, or breach of fiduciary duty.