Stop the Pain and Stress of Creditor Harassment How to File for Chapter 7 Bankruptcy with a Spokane Attorney

Are you drowning in debt and feeling overwhelmed by creditor harassment or legal threats? Filing for Chapter 7 bankruptcy may be the solution you need to start over and reduce financial stress. As a Bankruptcy Attorney in Spokane, I specialize in helping clients live free of needless debt-stress by stopping creditor threats and guiding them through this stress-relieving process.

Isn’t it better to trade $1000-ish to get rid of tens (or hundreds) of thousands of dollars of debt you cannot afford to repay? Seem like it might be better than debt consolidation, right?

PAYMENT PLANS AVAILABLE

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PAYMENT PLANS AVAILABLE 〰️

Here’s a step-by-step guide to help you move toward a brighter financial future:

1. Budget-Friendly Credit Counseling

Before filing for Chapter 7 bankruptcy, you must complete a credit counseling course from an approved provider. This course typically lasts 1-2 hours and can be completed online or over the phone. It covers topics such as:

• Managing debt.

• Understanding your financial options.

• How bankruptcy impacts your finances.

At Spalding Law Firm, we partner with trusted credit counseling services that offer high-quality courses at an affordable price. Once you complete the course, you’ll receive the necessary certificate which will be filed with your bankruptcy petition.

2. Organize Your Financial Information

To stop creditor threats and harassment, it’s crucial to gather accurate financial documentation. You’ll need:

• Recent pay stubs and bank statements (most recent six months for both) and tax returns (last two filed returns); you’ll also need a scanned copy of your social security card and state-issued photo ID. If you don’t have a copy of your social security card, request a replacement copy early on in the process

• A complete list of your debts, including any (copies of) lawsuits and legal actions taken against you in the last year. Don’t forget student loans. Don’t forget tax debts!

• A list of all assets, such as your home, vehicles, retirement accounts and bank accounts. In a no-asset Chapter 7 case, these items would all be exempt. [Note that exemptions change periodically and you really want an attorney who stays informed about this, because not all attorneys bother to stay updated.]

• A complete list of all your post-bankruptcy expenses. This is a sneakily important part of the bankruptcy petition because getting this part wrong can tank your petition and lead to a dismissal. A competent bankruptcy attorney will help avoid this dangerous pitfall.

• An understanding about your post-filing income. Is it likely to rise or fall? How does this impact your budget?

• What if you are separating from your spouse and haven’t filed any official documents? Your situation might be complicated. Does it make more sense to file before or after divorce? What trap door awaits the spouse that doesn’t file with the other spouse before a divorce is finalized?

Your Bankruptcy Attorney in Spokane will review these documents and issues to ensure everything is accounted for in your petition. Failing to disclose assets is a serious matter and could lead to a criminal referral. Hence why you need a good bankruptcy attorney. Failing to plan for your post-bankruptcy life has other consequences. That’s why Spalding will help you avoid the rakes in the grass.

3. Work with an Attorney Offering Payment Plans

Hiring an experienced bankruptcy attorney ensures your petition is filed correctly and shields you from creditor mistakes. At Spalding Law Firm, we offer flexible payment plans to make professional legal representation affordable.

4. Determine what you want to do with your car and other items that you’ve financed

This is one you should think about before you file the petition. In fact, when your attorney files a statement of intention form you’re essentially telling the court that you either want to surrender the collateral to the lender, reaffirm it, redeem it, or retain and pay it. I’ve written about these options Reaffirmation; Surrender; and Redemptions. It is important to carefully weigh these options with your bankruptcy attorney. For instance, what are you options when your car has negative equity?

There are other things to plan for? For instance, if you are a co-signer on a credit card or car loan, and file for bankruptcy, how does that affect the other co-signer on the account? How does that affect you and your options?

5. Pay the Filing Fee

The filing fee for Chapter 7 bankruptcy is $338, which must be paid to the court. For clients who need flexibility, you can pay this fee in installments starting at $75. This ensures that financial hardship won’t stand in the way of your fresh start.

6. File Your Bankruptcy Petition

Your bankruptcy petition is the formal document your bankruptcy attorney submits to the court. It includes:

• Your completed financial disclosures.

• Your credit counseling certificate.

Once your petition is filed, creditors are legally prohibited from contacting you for the purpose of trying to collect on a debt, perfecting liens, suing you, or garnishing your wages. This immediate protection is one of the most significant benefits of filing for Chapter 7 bankruptcy.

7. Attend the 341 Meeting of Creditors

Roughly 20-40 days after filing, you’ll attend a meeting with your bankruptcy trustee. While this might sound intimidating, it’s typically a simple process. Most creditors don’t show up, and your attorney will guide you every step of the way. Did you know that all Meetings of Creditors in Eastern Washington are now on Zoom? Read more about Meetings of Creditors on Zoom.

8. Receive Your Discharge and Start Over

After your case is processed, usually within three to six months, you’ll receive a discharge order. This eliminates most unsecured debts, such as credit cards, medical bills, and payday loans. With this, you can live free of needless debt-stress and focus on rebuilding your financial future.

Why Work with a Bankruptcy Attorney in Spokane?

• Stop Creditor Harassment: Filing for bankruptcy immediately halts collection calls, wage garnishments, and lawsuits.

• Stop Legal Threats: Bankruptcy provides legal protection from creditors.

• Start Over with Financial Freedom: Chapter 7 bankruptcy clears qualifying debts, giving you a clean slate.

At Spalding Law Firm, we specialize in helping individuals like you achieve financial freedom. With payment plans available and personalized guidance, we make it easier than ever to take control of your finances.

Live Free of Needless Debt-Stress Today

Don’t let debt control your life. Stop creditor threats and harassment, start over, and regain your financial freedom. Contact Spalding Law Firm to learn how Chapter 7 bankruptcy can help you achieve the fresh start you deserve.

Schedule a free consultation and flexible payment plan options.

Disclaimers:

• This blog post is for informational purposes only and does not constitute legal advice. For specific advice tailored to your situation, please consult a licensed attorney.

• This post is current as of December 2024. Laws and procedures may change over time. Please contact Spalding Law Firm for the most up-to-date information.