The Initial Bankruptcy Attorney Meeting

The first meeting you have with a bankruptcy attorney can answer many of the questions and concerns you have. Most people who are planning to file or who may want to file will need to schedule this type of meeting with a lawyer to discuss the situation. Not everyone can file. Those that can may need to choose between two different forms to determine which option is right for their needs. Aside from this, it is also important to consider the long-term aspects of any decision. Your lawyer will tell you what to expect.

Presenting Your Situation

When you come in for a consultation with a bankruptcy attorney, bring with you all of the documentation you have to show your income, debt and any other data. You may want to bring with you copies of your bank statement indicating your income as well as documents showing how much debt you have in total. You do not need to bring a list of creditors just yet, as the lawyer will first want to ensure you qualify to file based on your income and total debt amount.

Passing the Means Test

The next step is to pass the Means Test. This is a simple process that the lawyer must follow to determine if you qualify to file. During this process, the attorneys must compare your total income to the state's average income. If your income is at or below this, you are eligible to file. If not, you must prove that your expenses are extraordinarily high and that makes it impossible for you to repay your debt. If you fail the Means Test, you can still file, but it is likely to be Chapter 12 (debt reorganization) rather than Chapter 7 (discharge of debt.)

What's Next

If you decide to move forward with the case, your lawyer will tell you what steps to take during this process. It will usually involve gathering information about each of your lenders, how much you owe and your account numbers. You may provide bank and payroll statements to verify your income. You may also need to provide additional information. The attorney will discuss with you the limitations on filing, such as what types of debt can be included and what cannot. In addition, he or she will tell you about the mandatory credit education programs put into place.

At the end of the meeting with the bankruptcy attorney, you may have a good idea of whether or not this is the right opportunity for you to take. The decision is a big one that will have long-lasting consequences, but for many people, the long-term benefits are better when they file than if they continue to struggle with the inability to repay debt.