How to file bankruptcy of an individual?

Bankruptcy of an individual is a process by which an individual or an individual entrepreneur can declare his inability to pay debts to creditors. If you are in such a situation, then you should know how to procedurally correct the case in order to mitigate the consequences of being burdened with debts and find the best options for solving this problem.

So, the algorithm of actions for filing bankruptcy of an individual:

1. Familiarize yourself with the nuances of the case and regulatory regulation

Before filing for bankruptcy, you need to familiarize yourself with all the rules and requirements that apply to debtors, so as not to run into irreparable difficulties at the next stages of the process. To do this, you can refer to relevant information resources that provide comprehensive information about the bankruptcy process, such as online articles and/or legal frameworks.

2. Consult lawyers

Bankruptcy is a responsible complex process that requires knowledge and experience in the field of law, in particular in the field of writing off debts for loans. Therefore, in order to be ready for the challenges of the procedure, you should enlist the help of specialists who will do everything qualitatively. This will, in particular, facilitate your participation in the case by relieving you of all the procedural work and participation in the court process.

3. File your bankruptcy petition along with the required attachments

An insolvency petition is a document that describes the circumstances that prove your insolvency to creditors. It shows the total debt owed on loans, all your income, assets and other legally defined information related to financial status. The application must be signed personally on behalf of the debtor, and a list of documents defined by the Code of Bankruptcy Procedures must be attached to it. The drawing up of documents should be entrusted to specialists who take into account all theoretical and practical points.

4. Wait for the court's decision

After the bankruptcy petition is filed, the court will review it and decide whether to return without consideration or to open proceedings in the case. If your application does not meet the legal requirements, it will be necessary to correct all the indicated deficiencies and resubmit the information to the court. If all the requirements are met, the proceedings are opened by a court order and a specific deadline is set for achieving the result of debt liquidation. An arbitration administrator is added to the procedure, who, based on the assessment of the debtor's property status, will manage the repayment procedure step by step. According to the results of the court proceedings, the court can satisfy the procedure for restoring solvency, which will allow you to pay loans under the most favorable conditions for you, or, in the case of recognition of the complete impossibility of paying the funds, make a decision to declare you bankrupt and proceed to the debt repayment procedure.

What happens after filing for bankruptcy and what are the consequences?

In the case of recognition of your partial solvency and approval of the debt restructuring plan at the stage of court proceedings, after the court decision, you will be obliged to proceed to its implementation, gradually paying the amount of loans within a specified period in the amount and on terms that will not be financially burdensome for you. If the decision to declare bankruptcy has been made, and the procedure for the sale of property has been introduced with the aim of paying off debts to creditors, and you have existing property that you are not ready to get rid of, at this stage you should take care of its preservation as much as possible, entrusting it to specialists who know practical mechanisms its exclusion from the liquidation mass.

The lawyers of "PRIKHODKO & PARTNERS" help with the registration of bankruptcy "turnkey" from the very beginning of this procedure, and are ready to become your reliable guides in the process of writing off problematic debt. To do this, you should simply leave an application on our website. Communication is conducted in any convenient way for you. The consultation will reveal all the nuances of the case and plan a further course of action. Martial law helps citizens with proven insolvency to repay their debts, so you have a chance to get rid of the heavy burden of bad loans forever. For this, do not delay and contact us!