File the required forms to simplify your Chapter 13 bankruptcy files in Colorado
If you think of filing for bankruptcy in Colorado, it’s crucial to know the forms you must file in Chapter 13 bankruptcy to the court. Chapter 13 files in Colorado are vital to the bankruptcy procedure and give the court important information about your financial situation, aside from being required by law. In this sense, having a Chapter 13 bankruptcy lawyer on your side may be extremely helpful. They can assist you with all facets of your bankruptcy case, including submitting the necessary Chapter 13 forms in Colorado.
The Law Office of Clark Daniel Dray is a law firm based in Colorado providing legal assistance for people in bankruptcy situations. With decades of experience handling bankruptcy, we know every nook and cranny of Chapter 13 bankruptcy, including forms to file. Filling out Chapter 13 bankruptcy forms can be confusing, so if you need help, talk to our Chapter 13 bankruptcy attorneys today for a free consultation!
What is Chapter 13 Bankruptcy?
Chapter 13 bankruptcy is a type of bankruptcy that enables people to reorganize their obligations and create a repayment plan to pay back all or part of their debts over three to five years. Individuals with regular income who file for Chapter 13 bankruptcy can propose a repayment strategy enabling them to maintain their assets and property while repaying their debts over three to five years. The repayment schedule is determined by the debtor’s disposable income, which is the sum of money left over after meeting basic needs.
The debtor makes regular payments to a trustee, who then disburses the money to the creditors following the conditions of the repayment plan after the bankruptcy court has approved it. In most situations, secured debts, like a mortgage or auto loan, are paid off throughout the plan, while unsecured obligations, like credit card debts or medical expenses, are paid off at a reduced rate.
In addition to providing debt relief, Chapter 13 bankruptcy also has other benefits, such as stopping foreclosure proceedings, preventing repossession of a car or other property, and reducing the interest rate or amount owed on certain debts.
It is important to note that Chapter 13 bankruptcy is a complex legal process, and individuals considering filing for bankruptcy should consult with a bankruptcy attorney to determine if it is the right option for their specific financial situation.
What are the Steps to File for Chapter 13 Bankruptcy in Colorado?
The steps involved in filing for Chapter 13 bankruptcy in Colorado can be summarized as follows:
- Determine eligibility: Assess whether you meet the eligibility criteria for Chapter 13 bankruptcy, which includes having a regular source of income and sufficient disposable income to repay debts.
- Mandatory credit counseling: Complete a mandatory credit counseling course from an approved agency before filing for bankruptcy. This course provides education on budgeting, credit management, and alternatives to bankruptcy.
- Gather necessary documents: Collect all the required financial documents, such as income statements, tax returns, bank statements, and a list of assets and liabilities.
- File the Chapter 13 petition: Submit the Chapter 13 petition and the required forms to the US Bankruptcy Court for the District of Colorado. These forms include the Statement of Financial Affairs for Individuals, Chapter 13 Statement of your Current Monthly Income, Chapter 13 Calculation of Your Disposable Income, and the Chapter 13 Plan.
- Automatic stay: Once the petition is filed, an automatic stay goes into effect, which halts all collection actions by creditors, including foreclosure, repossession, and wage garnishment.
- Meeting of creditors: Attend the meeting of creditors, also known as the 341 meeting, where you will answer questions under oath about your financial situation. Creditors may also attend this meeting to ask questions.
- Confirmation hearing: Attend the confirmation hearing where the bankruptcy court will review your proposed Chapter 13 repayment plan. Creditors have the opportunity to object to the plan during this hearing.
- Repayment plan approval: If the court approves your repayment plan, you will begin making monthly payments to the bankruptcy trustee, who will distribute the funds to your creditors according to the plan.
- Completion of the repayment plan: Make regular payments according to the approved plan throughout 3 to 5 years. During this time, you must also attend a financial management course.
- Discharge: Once you have completed the repayment plan, the court will grant you a discharge, eliminating any remaining eligible debts.
What are the Forms Needed in Chapter 13 Bankruptcy in Colorado?
You should submit several forms and documents to the court when you want to work on your Chapter 13 files in Colorado. Additional forms and documents must be filed no later than 14 days after you file your bankruptcy case, although they may be filed at the same time you file your case. You must file the forms listed below when you open your bankruptcy case.
- Voluntary Petition for Individuals Filing for Bankruptcy (Official Form 101): This form opens the case. Directions for filling it out are included in the form itself. You have to provide basic information about yourself, such as your name, address, and social security number.
- Statement About Your Social Security Numbers (Official Form 121): This form gives the court your complete Social Security number or federal Individual Taxpayer Identification number. To protect your privacy, the court will make only the last four digits of your number known to the general public. However, the court will make your complete number available to your creditors, the US trustee or bankruptcy administrator, and the trustee assigned to your case. This form has no separate instructions.
- Chapter 13 Plan (Form 113): This form outlines your proposed plan for repaying your debts over three to five years.
- Summary of Schedules (Form 106Sum): This form summarizes the information provided in the schedules below:
- Schedules A/B – Property (Form 106A/B): These schedules list all your property and assets.
- Schedule C – The Property You Claim as Exempt (Form 106C): This schedule lists any property you claim as exempt from bankruptcy.
- Schedule D – Creditors Who Hold Claims Secured by Property (Form 106D): This schedule lists any creditors who hold claims secured by your property.
- Schedule E/F – Creditors Who Have Unsecured Claims (Form 106E/F): These schedules list any creditors with unsecured claims against you.
- Schedule G – Executory Contracts and Unexpired Leases (Form 106G): This schedule lists any contracts or leases you have with other parties.
- Schedule H – Your Codebtors (Form 106H): This schedule lists any parties who are codebtors with you.
- Schedule I – Your Income (Form 106I): Schedule I lists all your sources of income.
- Schedule J – Your Expenses (Form 106J): Schedule J lists all your monthly expenses.
- Declaration Regarding Payment Advices and Tax Returns (Form 122B): Form 122B requires you to provide information about your income and tax returns.
- Statement of Financial Affairs for Individuals Filing for Bankruptcy (Form 107): This form requires you to give detailed information about your financial history, including income, expenses, assets, and liabilities. It helps the bankruptcy court and your creditors understand your financial situation.
- Chapter 13 Statement of Current Monthly Income and Calculation of Commitment Period (Form 122C-1): Form 122C-1 calculates your current monthly income and determines the length of your repayment plan.
- Chapter 13 Calculation of Your Disposable Income (Form 122C-2): Form 122C-2 calculates your disposable income, which is used to determine how much you will need to pay each month toward your debts.
- Chapter 13 Certification of Completion of Postpetition Instructional Course Concerning Personal Financial Management (Form 423): Form 423 certifies that you have completed a personal financial management course required by the Bankruptcy code.
It’s imperative to speak with a Colorado Chapter 13 bankruptcy lawyer to ensure you have all the required paperwork in compliance with local laws since additional local laws can be applicable in particular circumstances.
Are There Any Fees Associated with Filing the Forms?
Yes, there are costs involved in submitting the Chapter 13 bankruptcy paperwork in Colorado. In addition to the filing fee, Chapter 13 bankruptcy cases also have other expenses, such as lawyer fees, trustee fees paid by the court, and credit counseling fees.
It’s crucial to remember that you may be qualified for a fee waiver or charge installment plan if you cannot pay the filing fee in full upfront. Some bankruptcy lawyers provide flexible payment plans to assist you in budgeting for your bankruptcy case.
What are the Mistakes to Avoid in Filing Chapter 13 in Colorado?
When filling out the required forms for Chapter 13 bankruptcy in Colorado, it is critical to avoid common mistakes that could potentially impact the success of your filing. Here are some blunders to avoid:
- Incomplete or inaccurate information: Ensure that all the required fields on the forms are filled out accurately and completely. Double-check the information provided to avoid any errors or omissions.
- Missing deadlines: Be aware of the deadlines for filing the forms and submitting these to the bankruptcy court. Missing deadlines can result in delays or even dismissal of your case.
- Failure to include all necessary forms: Make sure to include all the required forms mentioned in the search results, such as the Statement of Financial Affairs for Individuals (Official Form 107), Chapter 13 Statement of Your Current Monthly Income (Official Form 122C-1), Chapter 13 Calculation of Your Disposable Income (Official Form 122C-2), Chapter 13 Plan (Local Bankruptcy Form 3015-1.1), Notice Required by 11 USC §342(b) for Individuals Filing for Bankruptcy (Form 2010), and Disclosure of Compensation of Non-Attorney Bankruptcy Petition Preparer (Official Form B 280). Missing any of these forms can lead to complications in your bankruptcy case.
- Failure to follow instructions: Carefully read and follow the instructions provided with each form. Pay attention to any specific requirements or guidelines mentioned. Failure to follow instructions can result in your forms being rejected or additional complications in your case.
- Not seeking professional guidance: Filing for Chapter 13 bankruptcy can be complex, and it is advisable to seek the guidance of an experienced bankruptcy lawyer. They can help you navigate the process, ensure the forms are filled out correctly, and provide valuable advice based on your situation.
Call our Chapter 13 Bankruptcy Attorney in Colorado Now!
Don’t let the difficulty of completing your Chapter 13 files in Colorado stop you from gaining financial freedom. Our knowledgeable attorneys at The Law Office of Clark Daniel Dray are here to help you through the procedure and give you complete legal counsel regarding your best options for rapidly and successfully getting out of debt.
Contact us immediately to receive a free consultation and take the first step toward financial freedom. Let our law office guide you as you work your way through Colorado’s complicated Chapter 13 forms so that you can have a better financial future.
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