how to file bankruptcy without a lawyer in virginia

1. Determine Whether Your Income Meets the Means Test. When considering whether to file bankruptcy without a lawyer, the first step is to conduct a “ Means Test " to ...
2. Obtain Your Credit Reports and Complete Credit Counseling. The next step is to obtain credit reports from all three credit bureaus. ...
3. Fill Out the Paperwork. Filling out the official bankruptcy forms is generally the most complicated and time-consuming task if you choose to file bankruptcy without a lawyer.
4. Attend the Meeting of Creditors. You'll have to attend your “ Meeting of Creditors " on the scheduled date. ...
5. Take a Personal Financial Management Instruction Course. Finally, you must complete a post-filing Personal Financial Management Instruction Course within 45 days of your meeting of creditors.

Full Answer

What is Chapter 7 bankruptcy in Virginia?

What is Chapter 7 Bankruptcy in Virginia? Chapter 7 in the Bankruptcy Code refers to a legal process where debtors liquidate non-exempt properties to pay off creditors. In a Chapter 7 bankruptcy or liquidation case, the court appoints a bankruptcy trustee to oversee the sale of the debtor’s non-exempt properties.

How to file bankruptcy without a lawyer?

The Process

1. Determine Whether Your Income Meets the Means Test. When considering whether to file bankruptcy without a lawyer, the first step is to conduct a “ Means Test " to ...
2. Obtain Your Credit Reports and Complete Credit Counseling. The next step is to obtain credit reports from all three credit bureaus. ...
3. Fill Out the Paperwork. ...
4. Attend the Meeting of Creditors. ...

More items...

When to declare bankruptcy?

When to declare bankruptcy depends on the circumstances and the specific timing for a person [or a company]. If you think about the most common examples of companies filing, there is typically an event or a lawsuit that causes a company to file bankruptcy. One recent example is the many lawsuits brought against the Boy Scouts organization ...

How do you file bankruptcy in VA?

• Form 313 – Order Approving Disclosure Statement and Fixing Hearing on Confirmation and Times for Filing Objections to Confirmation and Acceptances and Rejections of Plan
• Form 420A - Notice of Motion (or Objection) [for Other than Alexandria]
• Form 420aalx - Notice of [Motion to] [Objection to] [for Alexandria]

More items...

How long does it take to get credit counseling?

Credit Counseling. Individual debtors are generally required to obtain credit counseling from an approved provider within 180 days before filing a case, and to file a statement of compliance and a certificate of credit counseling furnished by the provider. Failure to do so may result in dismissal of the case.

What happens if you don't list your debts in bankruptcy?

Debtors must list all property and debts in their bankruptcy schedules. If a debt is not listed, it is possible the debt will not be discharged.

Why are bankruptcy cases randomly audited?

Individual bankruptcy cases are randomly audited to determine the accuracy, truthfulness, and completeness of the information that the debtor is required to provide. Please be aware that bankruptcy fraud is a crime.

Can a petition preparer give legal advice?

Petition preparers are barred by law from providing legal advice - they cannot explain how to answer legal questions or assist in bankruptcy court. Petition preparers must sign all documents they prepare; print their name, address, and social security number on such documents; and furnish copies to the debtor.

Can a corporation file for bankruptcy without an attorney?

Corporations and partnerships must have an attorney to file a bankruptcy case. Individuals, however, may represent themselves in bankruptcy court. While individuals can file a bankruptcy case without an attorney or "pro se," it is extremely difficult to do it successfully.

How long can you keep assets in Chapter 13?

The individual will be allowed to retain his or her valuable assets over a 3- to 5-year period.

What happens to assets in Chapter 7 bankruptcy?

The trustee of the bankruptcy will liquidate the assets, such as cars, homes, and other property of value in a Chapter 7 Bankruptcy proceeding, In exchange for dissolving all past due debts.

What is a non-attorney petition preparer?

Non-attorney Petition Preparers. If you file bankruptcy pro se, you may be offered services by non-attorney petition preparers. By law, preparers can only enter information into forms. They are prohibited from providing legal advice, explaining answers to legal questions, or assisting you in bankruptcy court.

How to help a bankruptcy lawyer?

The following is a list of ways your lawyer can help you with your case. Advise you on whether to file a bankruptcy petition. Advise you under which chapter to file. Advise you on whether your debts can be discharged. Advise you on whether or not you will be able to keep your home, car, or other property after you file.

What do petition preparers do?

A petition preparer must sign all documents they prepare for you; print their name, address and social security on the documents; and provide you with a copy of all documents. They cannot sign documents on your behalf or receive payment for court fees.

Can I file for bankruptcy without an attorney?

Individuals can file bankruptcy without an attorney, which is called filing pro se. However, seeking the advice of a qualified attorney is strongly recommended because bankruptcy has long-term financial and legal outcomes. Filing personal bankruptcy under Chapter 7 or Chapter 13 takes careful preparation and understanding of legal issues.

Can you file bankruptcy under Chapter 7?

Filing personal bankruptcy under Chapter 7 or Chapter 13 takes careful preparation and understanding of legal issues. Misunderstandings of the law or making mistakes in the process can affect your rights. Court employees and bankruptcy judges are prohibited by law from offering legal advice.

What are the requirements for a Chapter 7 bankruptcy repayment plan?

In addition to the general requirements listed above, the repayment plan must pass each of the following three tests: 1) It must be delivered in good faith. 2) Unsecured creditors must be paid at least as much as if a Chapter 7 bankruptcy had been filed.

What is automatic stay in bankruptcy?

Automatic Stay. Once you have filed your paperwork with the bankruptcy court, an automatic stay immediately goes into effect. This provision prevents creditors from making direct contact with you or staking a claim on any of your property from the day of filing forward. This will stop any foreclosure proceedings.

How much does it cost to file for bankruptcy?

The cost for filing a Chapter 7 bankruptcy is $306. This fee may not be waived but you may be able to pay it in installments. The fee of $281 for a Chapter 13 bankruptcy cannot be waived. If you are filing a Chapter 13 bankruptcy, a proposed repayment plan must also be submitted.

What happens if you file for foreclosure in Virginia?

This will stop any foreclosure proceedings. Upon filing, the court will assume legal control of your debts and any property not covered by your Virginia exemptions. A trustee will be appointed to your case by the court. The job of the trustee is to see that your creditors are paid as much as possible.

How long does a trustee have to challenge a debtor?

Trustees and creditors have 60 days to challenge the debtor’s right to a discharge.

What happens if your income exceeds the median?

If your income exceeds the median, the remaining parts of the means test will be applied to determine if you can file Chapter 7 or if you must file Chapter 13. (See Virginia Means Test) To begin the bankruptcy process you must itemize your current income sources; major financial transactions for the last two years; monthly living expenses;

How long do you have to pay into a Chapter 13?

3) All disposable income must be paid into the plan for at least three years (you may use up to five years in order to meet the second test that you pay at least as much as in a Chapter 7). If you have filed Chapter 13, you must begin making your plan payments.

How long does it take for creditors to stop asking for money after filing for bankruptcy in Virginia?

After Filing for Bankruptcy in Virginia. Your creditors will stop bothering you soon after you file. It takes a few days because the court mails your creditors notice of the "automatic stay" order that prevents most creditors from continuing to ask you to pay them.

How does bankruptcy work in Virginia?

The bankruptcy process falls under federal law, not Virginia state law, and it works by unwinding the contracts between you and your creditors —that's what gives you a fresh start.

How many bankruptcy districts are there in Virginia?

Virginia has two bankruptcy districts—Eastern and Western. Each has multiple locations serving various geographical areas. Clicking on the district name will take you to the court's homepage. On each website, you can access the district's local rules and instructions for filing your paperwork.

How much can a surviving spouse claim for a deceased spouse?

A surviving spouse can claim an exemption for the personal property of the deceased spouse up to $20,000. If there is no surviving spouse, the children may claim this exemption (Va. Code Ann. § § 23-38.81, 34-4, 34-18, 34-26, 34-27, 64.2-310) Public benefits.

Can spouses file for bankruptcy together?

Spouses filing together can double the exemption amount unless noted otherwise. COVID-19 recovery rebate exemption. You might be able to protect stimulus payments, tax credits, and child credits in bankruptcy with the federal recovery rebate exemption. Retirement accounts all filers can protect.

Can you lose your car if you file Chapter 13?

So you could lose your home or car if you're behind when you file. Chapter 13 bankruptcy. By contrast, Chapter 13 filers must pay creditors some or all of what they owe using a three- to five-year repayment plan. But the payment plan allows Chapter 13 to offer benefits not available in Chapter 7.

Can you keep property in bankruptcy?

Exempt and nonexempt property. You can keep property protected by an exemption or "exempt" property. When a bankruptcy exemption doesn't cover the property, you'll either lose it in Chapter 7 or have to pay for it in the Chapter 13 repayment plan. Choosing state or federal exemptions.

What is unsecured debt?

You have unsecured debt when your creditors cannot seize your property when you fail to pay them. Credit card debt, court judgments, and medical debt are among the most common types of unsecured debt.

What happens when you don't pay your debt?

When debt is secured, a creditor can repossess your property if you fail to pay them what you owe. Most secured debts are part of a loan transaction where you signed a contract that gave the lender the right to seek a lien on the property that you put up as collateral if you don't repay your loan. Home mortgages and car loans are the most common types of secured debt.

How much of your weekly income can you keep in Virginia?

Virginia allows you to exempt the larger of 75% of your weekly earnings or 40 times the federal minimum wage. The judge may allow low-income individuals to keep more of their income.

Can you discharge debt in Chapter 7?

However, your secured debt can rarely be eliminated, leaving you with three options:

Is the bankruptcy court in Virginia open?

COVID-19 Statement — Virginia's bankruptcy courts are open. Virginia's bankruptcy courts are split into an eastern and western district, and both are open. However, there are special rules in place for filing documents with the clerk of courts. Additionally, most hearings are being conducted remotely.

Is debt treated the same in bankruptcy?

Not all debt is treated the same during bankruptcy and it is helpful to understand the different types of debt and how they will be treated. As a general rule, when you declare bankruptcy your debt will be categorized as either secured or unsecured. How your debt is classified will often determine how much you can eliminate through bankruptcy.

What do you need to pay for bankruptcy?

In general, you need to at least pay a filing fee and the credit counseling and financial management course fees to finalize your bankruptcy petition. But if you have no money, you can ask for a fee waiver (in Chapter 7 cases) or ask the bankruptcy judge to roll the payment in your repayment plan (in Chapter 13 cases).

How do I file for bankruptcy?

The bankruptcy process may be simple enough to handle on your own if the following are met: 1 You own few assets 2 Your household income is below your state's median 3 You haven't been accused of fraud

How long do you have to take a post filing course?

Finally, you must complete a post-filing Personal Financial Management Instruction Course within 45 days of your meeting of creditors. Take a look at the U.S. Trustee Program's site to find an approved course near you. After you've completed the course, the last step is to wait to hear from the bankruptcy court whether your debts have been discharged.

Why do I need to get credit reports from all three credit bureaus?

You'll need all three reports because creditors don't typically report to every bureau. If you fail to report a debt, it won't be discharged in bankruptcy.

Can I file for bankruptcy without a lawyer?

Yes, you can legally file for bankruptcy without a lawyer. But should you? Every year, thousands of Americans find themselves too broke to pay off their debts, yet unable to afford bankruptcy. It probably comes as no surprise that attorneys' fees make up the lion's share of bankruptcy expenses.

Do you have to fill out paperwork for bankruptcy?

Even though your case is relatively uncomplicated, a bankruptcy case requires you to fill out extensive paperwork and have a good knowledge of the Bankruptcy Code. Thus, it may be in your best interest to at least have an initial consultation with an attorney to make sure you are on the right course.

Do creditors have to be present at a meeting of creditors?

You'll have to attend your “ Meeting of Creditors " on the scheduled date. Although your creditors won't actually be present , the trustee will be and will ask you a number of standard questions about your case. Be sure to answer truthfully and accurately.