We are occasionally approached by clients who aren’t sure of what
they can do when they need to declare bankruptcy, but don’t own
much in the way of property and assets. For starters, they have a high
amount of debt, but to add to their woes they own almost nothing. Often
times these people have no savings, no retirement, and nothing more than
a simple car, a few changes of clothes, and maybe a lease on a small apartment.
The good news for these individuals: you
declare bankruptcy! In fact, because you own so little non-exempt property, odds are you
stand to lose very little, your case will be extremely straightforward,
and you’ll be able to benefit from the process just like anyone
else would. Here’s more information regarding no-asset bankruptcy cases.
New York City Bankruptcy Attorneys
Or Call Today: (888) 301-0584
How to File
A no-asset bankruptcy is simply an informal way of saying a Chapter 7 bankruptcy
case where person declaring owns no non-exempt property. The filing procedures
are all exactly the same as a normal bankruptcy petition, with a few exceptions
that actually simplify everything.
You will still need to take a credit counseling course and pass the means
test in order to qualify for Chapter 7, but otherwise you’ll simply
have to fill out the correct petition forms.
The automatic stay will go into effect as soon as you file your petition,
which prevents creditors from continuing collection activities.
The Creditors Meeting
You’ll have to attend a meeting of your creditors in which you’ll
have to ask a series of questions about your debts and property. However,
since you own so little, these questions will probably fairly easy to
answer since your situation is so simple. In fact, your creditors most
likely won’t even attend since you have no non-exempt property.
Therefore, your meeting probably won’t last long.
For more information,
call the Law Office of Simon Goldenberg, PLLC today at (888) 301-0584 and let a New York debt relief attorney help you
find the solution you need when you’re struggling with crippling debt!
Once your process is complete, your unsecured debts will be discharged,
meaning you’ll have the ability to start from scratch and rebuild
your credit. Be sure to use this opportunity to make good financial decisions!