Essential Information If You’re Contemplating Bankruptcy

If you’ve come to the end of the line with bill collectors, past due notices, and upside down car loans, and you’re thinking about filing for bankruptcy in Warren County, Butler County, Hamilton County or Montgomery County, here are a few items that you should bring with you for your first attorney consultation.

1. Your most recent pay stub.  Many decisions regarding bankruptcy relief are determined by the amount of income that you have.  If anyone else lives with you and contributes to the household expenses, you should provide the attorney with that information as well.  Gross income often determines what type of bankruptcy chapter is most applicable to your circumstances.
   
2. Your most recent tax return filing.  Your gross income on an annual basis will highlight any significant changes in your income that may account for your present circumstances.  Maybe you lost a high paying job that used to allow you to cover minimum payments.  Sometimes, the solution to your financial problems isn’t found in filing for bankruptcy.  Identifying the cause of the problem may help an attorney find a different solution to the problem.
3. Your most recent mortgage statement.  The most important and significant monthly expense that any property owner has is there mortgage payment.  It is essential to determine exactly how much of your income needs to go toward covering this vital expense every month.
   
4. Your most recent car payment statement.  Car payments are usually the second highest bill that an individual pays on a monthly basis.  Often times, bad car loans are the culprit behind why an individual’s financial outlook is so bleak.  Is it best to surrender the car and get out from under that loan all together?  Or, is it feasible to reaffirm the debt and keep the car through the bankruptcy?  Knowing the payoff balance and monthly payments provide the attorney valuable information to give you the best advice. 
5. Your most recent checking and savings account bank statement.  This information is an important indicator to the attorney on how your finances flow throughout the month.
   
6. Copies of any lawsuits for which you are a named party.  Obviously, if you are being sued, or if you are suing someone else, an attorney needs to know of the existence of the litigation.  Bankruptcy filings usually result in an automatic stay of proceedings in most civil actions to collect money from you.

Although there is much more documentary information that will need to be gathered before an attorney can successfully prepare a bankruptcy petition, the above is a pretty good list to enable the attorney to provide you initial advice on whether bankruptcy is the best option for you.  If you’re having financial difficulties that don’t seem to be getting any better from month to month, call AWK Legal at (513) 621-5088 to set up a free consultation.  We’ll help you decide whether bankruptcy is the right decision for you.