|
NOTICE TO ASSISTED PERSONS UNDER
SECTION 527(a)(2)
OF THE BANKRUPTCY CODE
"WE ARE A DEBT RELIEF AGENCY. WE HELP
PEOPLE FILE FOR BANKRUPTCY RELIEF UNDER THE BANKRUPTCY
CODE"
The Bankruptcy Code, 11 U.S.C. Section 101(3) defines
"assisted person" to mean any person whose debts consist
primarily of consumer debts and the value of whose
nonexempt property is less than $164,250.00.
All information that an assisted person is required
to provide with a petition and thereafter during a case
under the Bankruptcy Code is required to be complete,
accurate, and truthful.
All assets and all liabilities are required to be
completely and accurately disclosed in the documents
filed to commence the case, and the replacement value of
each asset as defined in section 506 must be stated in
those documents where requested after reasonable inquiry
to establish such value.
Current monthly income, the amounts specified in
section 707(b)(2), and, in a case under chapter 13 of
the Bankruptcy Code, disposable income (determined in
accordance with section 707(b)(2)), are required to be
stated after reasonable inquiry.
Information that an assisted person provides during
his/her case may be audited pursuant to the Bankruptcy
Code, and failure to provide such information may result
in dismissal of the case under the Bankruptcy Code or
other sanction, including a criminal sanction.
|
Disclosures Required Under 11 U.S.C. §
527(b)
If you decide to seek bankruptcy relief, you can
represent yourself, you can hire an attorney to represent you, or you can get help in
some localities from a bankruptcy petition preparer who is not an attorney.
THE LAW REQUIRES AN ATTORNEY OR BANKRUPTCY
PETITION PREPARER TO GIVE YOU A WRITTEN CONTRACT
SPECIFYING WHAT THE ATTORNEY OR BANKRUPTCY PETITION
PREPARER WILL DO FOR YOU AND HOW MUCH IT WILL COST.
Ask to see the contract before you hire anyone.
The following information helps you understand what
must be done in a routine bankruptcy case to help you evaluate how much service
you need. Although bankruptcy may be complex, many cases
are routine.
Before filing a bankruptcy case, either your or your
attorney should analyze your eligibility for different forms of debt relief
available under the Bankruptcy Code and which form of relief is most likely to be beneficial
for you. Be sure you understand the relief you can
obtain and its limitations. To file a bankruptcy case,
documents called a Petition, Schedules and Statement of
Financial Affairs, as well as in some cases a Statement of Intention need to be prepared correctly
and filed with the bankruptcy court. You will have to
pay a filing fee to the bankruptcy court. Once your case
starts, you will have to attend the required first
meeting of creditors where you may be questioned by a
court official called a "trustee" and by creditors.
If you choose to file a Chapter 7 case, you may be
asked by a creditor to reaffirm a debt. You may want
help deciding whether to do so. A creditor is not
permitted to coerce you into reaffirming your debts.
If you choose to file a Chapter 13 case in which you
repay your creditors what you can afford over 3 to 5
years, you may also want help with preparing your
Chapter 13 plan and with the confirmation hearing on
your plan which will be before a bankruptcy judge.
If you select another type of relief under the
Bankruptcy Code other than Chapter 7 or Chapter 13, you will want to find out what should be
done from someone familiar with that type of relief.
Your bankruptcy case may also involve litigation. You
are generally permitted to represent yourself in litigation in bankruptcy court,
but only attorneys, not bankruptcy petition preparers, can give you legal advice.
|
