If everything goes smoothly and the depending on the size of the case, a Chapter 7 bankruptcy case can be filed within a few hours to a few days and the debts discharged in approximately 100 days. The most important part of the process is preparing the documents required by the bankruptcy court. Once your bankruptcy attorney has prepared all the necessary forms, they will file your Chapter 7 bankruptcy petition with the bankruptcy court. The court will schedule a meeting of creditors approximately a month after your bankruptcy filing date. In most cases, the petitioner will receive a letter stating that their debts have been discharged or “erased” approximately two months after the meeting of the creditors.
How Long Does it Take to File for Chapter 7 Bankruptcy? If everything goes smoothly, the case can be filed and debts discharged within three months. In some cases, it may take longer. Your Chapter 7 bankruptcy case may require over three months if you fail to mail the trustee documents that are requested or if you fail to send the correct materials. It could also take longer if you do not complete the required bankruptcy/credit counseling course. It could also be delayed due to rare instances of litigation.
What Do I Do After My Bankruptcy Is Over? Almost all petitioners will find that they immediately start to receive new credit offers once they file for bankruptcy. Most credit offers received right after bankruptcy will have low limits, high-interest rates, high annual fees, and a required deposit to “secure” the credit. Always review the “terms” of the offer carefully before deciding to sign up for a new credit card or credit account after bankruptcy. The best place for most bankruptcy petitioners to start is by requesting a secured credit card through their bank. With a secured card, you deposit a specific amount of money in the bank, and the deposit acts as collateral for the “credit” card you are issued. The secured card is the best first step in post-bankruptcy credit repair because your on-time payment history will typically report on your credit. Also, remember to check your credit report for any mistakes regularly.
There is no shame in seeking a discharge of debt when unintended circumstances leave you struggling to care for your family. When you are out of choices and need help to release your family from chains of debt, don’t hesitate to get in touch with Kenneth C. Rannick P.C., Tennessee, and Georgia bankruptcy attorney. We help good people through bad times.