I’m going to now walk you through an
explanation of the chapter 7 petition. You can get a free
copy of the bankruptcy forms at the following link below so
you can review them and see exactly what information is
required:
Bankruptcy Forms
I’m going to verbally give you a tutorial on exactly what
is essential in filling out your bankruptcy petition and
break them down into sections. The bankruptcy petition is
broken down into schedules beginning with the letter A, so
you will get any explanation of the most important key
points for each schedule.
The first page of your petition will simply be page 1,
which will contain your name address, social security
number, attorney name etc.
The second page will be exhibit D which asks if you have
completed your credit counseling requirement. Remember that
has to be done within six months prior to filing the case.
Schedule
A- schedule A asks you
to list all your real property which means real estate. Any
real estate you have owned and or transferred within the
last two years prior to filing. On that schedule if
applicable you will list all of the property you own, and
the mortgages, home equity loans etc.
Schedule
B- schedule B asks you
to list all of your personal property, and the following
applies:
Automobiles, Trucks, Trailers
Cash on Hand
Security Deposits with Landlords
Household Goods and Furnishings
Books, Art, Antiques
Clothing
Accounts Receivables
Retirement accounts
Bank Accounts
Exotic Pets
Any other Personal Property not listed
The amounts vary from state to state but basically there is
a certain amount of money and equity you are allowed to
have before something can be sold. For example in Illinois
you are allowed a $4000.00 wild card exemption that would
cover anything, like cash, home furnishings etc. You are
given a $2400.00 automobile. So if you have a car that’s
worth $3000.00 the trustee can request the $600.00
difference from you or sell the car. The same would apply
to your home. You can check the exemptions by clicking on
the appropriate link on our US courts page for your
particular state.
Schedule
D- schedule D asks you
to list all creditors having secured claims. It is
basically collateral securing your loan. For example
mortgages, car loans, purchase money security interest. An
example of a purchase money security interest would be
buying a flat screen TV at Best Buy and making payments on
it. When you file your bankruptcy you will have the option
to either re affirm the debt and keep the TV or return it.
That will be the case for all of your secured property.
Schedule
E- schedule E asks for
unsecured priority claims which are basically debts you
cannot discharge. This would include IRS taxes that were
not filed on time and money is owed on them. Child support,
government would also be included in this schedule.
Schedule
F- schedule F asks for
all of your unsecured debt, and this will be the schedule
that most of you will have the majority of your debt. This
is all debt that is unsecured, such as credit cards. Every
credit card and everyone you owe money to should be listed
on schedule F. This would include individuals, doctors,
hospitals, collection agencies etc.
Schedule
G- schedule G asks you
to list all monies you owe on executory contracts and
unexpired leases. For example, business leases car leases
or business contracts that you cannot perform on because of
your financial situation.
Schedule
H- schedule H asks for
you to list any co debtors you have on anything you owe
money on, that could be on a credit card, car loan or your
mortgage. This would cover anyone co signing a loan for
you.
Schedule
I- Schedule I asks for
your current income. This is would cover income from
employment, business, social security, or unemployment.
Schedule
J- Schedule J asks for
your current expenditures this will ask you to list all of
your expenses. Rent, mortgage, utility bills, food,
telephone, clothing, insurance, medical expenses,
transportation etc.
Form
7- Statement of
financial affairs asks you to list your income for the last
two years prior to filing the bankruptcy. So the last two
years of income taxes should be used for this part of the
petition. Form 7 also asks you to list how much money you
made year to date. So you would start from the first of the
year to the time of filing.
Form 8- Statement of
intention asks you to list which of your secured debts you
are going to re affirm and continue paying on. And the
property that you will surrender, for example giving up
your car or flat screen television you bought at Best Buy.