Once you have selected a bankruptcy lawyer there are several factors to consider. For example, are you better qualified for Chapter 7 or Chapter 13? Do you know the difference between Chapter 7 (straight bankruptcy) and a Chapter 13 (repayment plan)? If not, this blog and this website offers a large amount of information on each topic.

Something to consider is how can you help your bankruptcy lawyer provide you with the best service possible. Below are five essential pieces of financial information that you should provide to your lawyer. With this information he will be able to better advise you of what type of financial options are available and will help you determine in what ways you can benefit the most from the U.S. bankruptcy code and Georgia bankruptcy code.

1. List of Creditors
2. Past Payroll Stubs (ideal is the last 6 months)
3. Bank Statements (ideal is the last 3 months for checking, savings, and so on)
4. Tax returns (ideal is the last 2 years)
5. Estimated monthly budget (your income and all expenses, including house, cars, credit cards, medical bills and so on)

List of Creditors: This information is going to be critical to your bankruptcy lawyer. When completing this list you will want to include:

• Creditor Name
• Amount Owed
• Account Number
• Creditor Address

Having this information is not necessarily going to be a quick process. It is a process that needs to occur to get the right information to your bankruptcy lawyer. With this information he is better able to help develop a bankruptcy solution that works best for your situation. If you have questions about how to get this data or why it is needed, don’t hesitate to ask. Your lawyer and his team will be able to answer your questions. Who knows, often when a question is asked, another piece of a person’s finances is uncovered. If you have a question for Berry & Associates, give us a call!

All bankruptcies filed after October 17, 2005 are subject to the provisions of the BAPCPA.  While it is no longer a recent change, these bankruptcy laws are often referred to as the “new” bankruptcy laws. 

The primary aim of these revisions is to make it more difficult to file a chapter 7 bankruptcy and to encourage more filers to choose to file a chapter 13 bankruptcy instead. 

Prior to the passage of this act, debtors could choose to file either chapter 7 or chapter 13 bankruptcy, but once the BAPCPA was passed, debtors seeking to file chapter 7 bankruptcy were required to satisfy specific income and asset requirements. 

To determine if these criteria are met, the BAPCPA requires that the debtor’s monthly income be compared to the median income of the state in which they are filing for bankruptcy.  If the debtor’s income falls below the state’s average, they will automatically qualify to file for a chapter 7 bankruptcy.  If the debtor’s monthly income exceeds this average, a “means test” is applied. 

To further evaluate the debtor’s financial situation, their current monthly income is compared to a list of allowed expenses.  These expenses are based on IRS approved deductions.  These are not the debtor’s actual expenses, but rather averages that the IRS has determined. 

Georgia bankruptcy law has been impacted by the changes that were enacted with the passage of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, as filing for bankruptcy is no longer a simple matter of completing a few forms, but instead requires complex formulas and exemptions. 

The best way to successfully navigate the additional requirements of the BAPCPA is by consulting a qualified Georgia bankruptcy attorney.