faq’s

Do you offer FREE Consultations?

Yes. We provide free bankruptcy consultations where you will get to speak personally with Attorney McApin.

Do you provide workshops on how I can prepare my own Bankruptcy without an attorney?

Yes. If you don’t want to hire an attorney to prepare your Bankruptcy, Attorney McAlpin will offer a free zoom workshops to give you the basics on filing your own Bankruptcy.

What information do I need to provide to start the bankruptcy process?

To assist us in preparing your Bankruptcy Petition, please provide us with a copy of the following documents:

Driver’s License
Social Security Card
Most recent invoice statement for any debt that will not appear on your credit report
Copy of Pay Stubs for past 2 months
Copy of last 2 years Tax Returns
Auto Lease/Loan Statement
Mortgage Statement for your home and all rental properties
Copy of any lawsuits or judgments against you

Do I have to take a class to be eligible for bankruptcy?

Yes Bankruptcy Law requires that you complete a Pre-Bankruptcy Credit Counseling Course before you are eligible to file a Chapter 7 or 13 Bankruptcy. The average cost for the Pre-Bankruptcy Course is approximately $35.00. You will also be required to take a Post Bankruptcy Course after you have filed your Bankruptcy, which is also approximately $35.00

How much does it cost to file a bankruptcy?

The total cost for filing a Chapter 7 Bankruptcy is approximately $1500.00 – $2500 for individuals and depending on your specific circumstances. The cost for a Business Chapter 7 Bankruptcy is approximately $2500.00 – $5000.00.

In a Chapter 13 Bankruptcy, the initial upfront cost is approximately $1500.00- $2000.00, plus there’s an additional $3000.00 payment included in the Chapter 13 Plan (or an additional $4,000.00 for a debtor engaged in a business). The additional fee is not paid directly by the debtor, rather it is paid by the Chapter 13 Trustee.

Am I required to make payments to my creditors during the bankruptcy process?

No. However, in a Chapter 13, you will be required to make a monthly payment to the Chapter 13 Trustee during the pendency of your Chapter 13 case. (the amount of the monthly payment depends on your financial circumstances).

What is the difference between a Chapter 7 and a Chapter 13?

CHAPTER 7 – Chapter 7 refers to a “liquidation” bankruptcy and can be used by an individual to obtain a discharge of many debts without making payments in the future. It may also be used by a business that wishes to liquidate its business assets under the protection of the bankruptcy court.

A trustee is appointed to take control of certain asserts of the debtor and to sell or distribute these assets for the benefit of creditors. A trustee can also recover certain assets that have already been distributed and bring those assets back into the bankruptcy estate.

Creditors generally have the right to file “claims” which identify the amount of money owed and the documents supporting the claim. In some situations may be able to file a written request (motion) to the court for an order allowing the creditor to take back a residence, automobile, or other property.

CHAPTER 13 – Chapter 13 refers to reorganization of debts by an individual who has regular income and debts that are below certain statutory limits. A Chapter 13 debtor proposes a “Chapter 13 Plan” which proposes a repayment schedule. The plan essential identifies details for the debtor to retain control of property, keeping up with current debts, and repay at least some of the past due debts.

A trustee is appointed to monitor activity in the case and report to the court on whether or not the debtor is meeting obligations. If a debtor is not meeting obligations, the trustee or a creditor can ask the court to dismiss the bankruptcy case. If a debtor’s income rises, the trustee or a creditor can ask the court to increase the amounts paid to creditors.

Creditors have the right to file “claims” which identify the amount of money owed and the documents supporting the claim. The can also object to a debtor’s plan proposal, and in some situations file a written request (motion) for an order allowing the creditor to take back a residence, automobile, or other property.

Does bankruptcy stop foreclosures and evictions?

Yes. In most cases although, in a Chapter 7, the bank can request permission to later proceed with the foreclosure. In a Chapter 13, the lender is prohibited from foreclosing as long as the debtor complies with the requirements of the Chapter 13.

Can Bankruptcy stop evictions?

Yes. However, the landlord may request permission to later proceed with the eviction.

If I file bankruptcy, can I keep my home or car?

Yes, an individual debtor can choose to keep certain personal property (such as a house or an automobile).

How long is the bankruptcy process?

Chapter 7s last approximately 6 months, while Chapter 13s last approximately 3-5 years.