There are various phases someone declaring bankruptcy must go through. It involves the following:
– Find a licensed trustee (licensed by the Office of the Superintendent of Bankruptcy, OSB) to talk over your possibilities.
– Fill out the proper forms with the trustee so they can file them for you with the OSB.
– Any property, investments or assets will be sold by the trustee. In addition, you will have to pay the trustee a determined amount depending on your particular financial situation.
– All institutions with which you have a debt will be notified about the bankruptcy claim by your trustee.
– In some cases, it is necessary to meet with creditors so that they may determine how they could receive payment for the debt owed to them.
– You may be requested to go to the OSB for questioning about your actions that lead to extensive debt and therefore bankruptcy.
– There will also be two sessions with a counselor to go over the actions that lead you into debt with the intention of preventing future financial problems of this nature.
– The trustee must also put together a summary of actions you took during the bankruptcy process and submit this to the OSB.
– There may be an official hearing to make the bankruptcy official.
Lastly, the debt you owe that qualifies to be wiped away with bankruptcy will be legally discharged.The information provided above does not constitute legal advice and should not be relied upon as such, since it has been written with a limited picture of the situation. In order to obtain proper legal advice, a lawyer must be aware of all of the details of your particular case. If in doubt, please obtain the advice of a lawyer. You may be eligible to receive a free telephone consultation with a tax lawyer at Barrett Tax Law. For details, call 1-877-8-TAX-TAX today or click here.