Boston Bankruptcy Information Center
Should I think about filing for bankruptcy?
- I’ve lost my job, my bills are piling up, and I can’t afford to pay them.
- I can’t afford my mortgage but I want to save my home.
- I receive many calls from creditors.
How does bankruptcy work?
A bankruptcy case starts when the debtor (the person owing debt) files a bankruptcy petition in the bankruptcy court. A bankruptcy petition is a document which lists all of the assets, liabilities, expenses, income, and other pertinent information of an individual or business debtor. Filing a bankruptcy petition creates a “bankruptcy estate." At this point, the estate becomes the owner of the debtor’s assets while, in most instances, the debtor remains in possession. Bankruptcy cases are administered in the United States Bankruptcy Court for the District of Massachusetts, which has Clerk’s offices in Boston, Worcester, and Springfield. Each case is assigned based on a debtor’s geographic location and is overseen by the Office of the United States Trustee.
Bankruptcy protection is commonly sought by individuals and businesses that are facing financial problems including, but not limited to, pending foreclosure or repossession, IRS levy or other tax issues and credit card debt. Bankruptcy can also be used to address many other financially-related problems. In most instances, an individual or business that files for bankruptcy receives immediate protection from actions by creditors, although this is not always the case. This means that in many instances, creditors will be barred from continuing collection actions, civil lawsuits, foreclosure sales, repossession actions, wage garnishments and tax levies. However, there are many factors which can affect this automatic stay so it is best to speak to a lawyer prior to filing for bankruptcy in order to determine whether you can benefit from filing for bankruptcy and if so, the best approach to take.
Can I file for bankruptcy without the help of an attorney?
It is possible for individuals to file for bankruptcy without an attorney. However, the filing process can be extremely complex and lengthy. Without an attorney who is familiar with the standard requirements including forms and procedures, it is very easy to file incorrectly, miss a due date, or miss a payment which can result in the bankruptcy petition being dismissed. If the case is dismissed, the automatic stay protecting the debtor from his/her creditors is immediately discontinued.
