Many responsible people are having to file for bankruptcy due to unavoidable circumstances such ast job loss , and lower reward, and there is little in the way of additional loans to get you by . The biggest question we ask when we are pinched to the point where we must regard bankruptcy is; how long will a bankruptcy take to finalize ?

The answer to that question can depend on several criteria , like which type of bankruptcy you need to file. Your bankruptcy attorney will give advice here, but there are two standard types of bankruptcy; Chapter 7 and Chapter 13. Chapter 7 is more difficult to get sanctioned, as it is a straight liquidation of assets with stringent regulations and criteria. Most individuals filing for bankruptcy will be forced to file Chapter 13 .

Your first step will be the actual filing, followed immediately by the petition to your creditors to stop blowing up your phone. They may no longer demand any payments from you for outstanding bills owed, nor can they take you to court or repossess any assets. When you file the paperwork , with the names and address of all of your creditors with the court, inside several days of filing for Chapter 13 bankruptcy.

One week after you submit your list of creditors , you will be supplying the court support of your assets, income, expenses, financial plan for the re-organization of debts under Chapter 13, and proof that you are able to abide to your plan.

Next, you will meet with the trustee to finalize your financial plan . This meeting will be anywhere from one to three calendar months after your initial Chapter 13 filing, and should take approximately ten minutes. The meeting will most likely consist of you swearing to tell the truth, and then answering questions that will be taken down. Your creditors do have the opportunity to ask you about the financial plan. Creditors hardly ever show up for these meetings. The repayment plan begins after this meeting.

By the 60th day after the creditors meeting, there is a deadline for creditors to file lawsuits that dispute your intent to discharge a debt owed .

For Chapter 13 bankruptcy, how long you can stretch out the payments will depend on how much you owe, and how much money you bring in each month. The bankruptcy courts require that all plans take anywhere from 36 to 60 months, even if you are able to pay off your debts before the minimum time of 36 months .

Once you complete your bankruptcy case , you should expect it to stay on your credit record for between 7 and 10 years. Take this into consideration before filing if you want to borrow money and go right back into debt , or are looking for a new job. Potential creditors and employers often do not like to see a bankruptcy during a background check . If a bankruptcy filing is inevitable, take the time to explain your situation to a potential employer.

When your bankruptcy case looms , be prepared to hired the best bankruptcy attorney and then gather plenty of documentation, a good long term repayment plan, and plenty of patience .