Chapter 7 Information

Court Fee: The Federal Bankruptcy Court requires a fee of $335 be paid at the time your case is initially filed.

Attorney fees: (Best price: $1,285 – paid when returning the questionnaire) For the lowest fee, this total of $1,285.00 must be paid when returning the completed questionnaire to our office. This fee includes the court filing fee of $335 and attorney fees of $950.

Bank accounts: Any money you have in the bank at the time your bankruptcy is filed is subject to seizure by the trustee. You need to make sure all outstanding checks clear your account, and you may want to pay your bills by cash or money orders immediately prior to filing. Sometime after the bankruptcy is filed, the trustee may ask to see you bank statements, then make demand for the balance indicated as of the day of filing, even when that money has gone to pay checks that were outstanding. After the bankruptcy is filed, you can go back to using your bank account again.

Set Off: You need to be aware if you have money on deposit with a financial institution, and that particular institution is also one of your creditors, they may have the right to seize any money you have on deposit and apply it toward the debt you owe them. If you desire to discharge a certain bank loan or credit card, you need to remove any money deposited at that bank prior to filing the bankruptcy.

Tax refunds: Tax refunds are not exempt. If you file a bankruptcy, the trustee is entitled to a portion or all of your tax refunds. The way to avoid this is to receive and spend your refund prior to filing your bankruptcy. We can discuss this, if it applies to your case.

Protection from your creditors: Bankruptcy offers protection from your creditors immediately upon filing the case. At that point, a federal restraining order automatically goes into effect, “staying” your creditors from pursuing collection efforts. When a bankruptcy is filed, creditors can no longer call you, write you, repossess collateral (without bankruptcy court relief from the automatic stay), sue you, or garnish you. This will all be explained more fully by your attorney.

Mandatory appearances: You must attend the Meeting of Creditors. You will receive a notice from the court, with the date, time and location. These meetings are held at the United States Courthouse, 401 N. Market in basement room B-56, Wichita. The US Courthouse is a block long and runs from 3rd and Main to 3rd and Market. You can enter at either corner.

DO NOT BRING A CELL PHONE INTO THE UNITED STATES COURTHOUSE!! Bring a photo ID and proof of your Social Security Number. Enter the building; go through security and the metal detector; and then take the elevator to the basement. In the basement there is a long hallway. Room B-56 is halfway down that hall. Your attorney will advise you if you will have to attend any other hearings. It is unlikely you will.