Filing for bankruptcy can provide much-needed relief if you’re overwhelmed by debt and facing potential loss of assets. Bankruptcy allows individuals to reorganize or discharge certain debts, protecting their property and giving them a fresh financial start. The team at Mark M. Kratter, LLC, a Connecticut-based law firm, has created a checklist to help you prepare. By following these steps, you’ll streamline the process and help your attorney determine your eligibility for bankruptcy.

1. Assess Your Eligibility

To qualify for bankruptcy, you’ll need to meet specific criteria. The type of bankruptcy you file, whether Chapter 7 or Chapter 13, will depend on your income, debts, and assets. Generally:

• Chapter 7 is for those with limited income who need to discharge most debts.
• Chapter 13 is suited for individuals with higher income levels who can make regular payments toward debt under a structured plan.

2. Gather Essential Documents

Providing accurate documentation is critical for your attorney to evaluate your financial situation. Use this checklist to gather what you’ll need:

• Tax Returns: Collect your most recent federal and state income tax returns.
• Income Records: This includes the last six months of salary stubs, direct deposit records, and any other income sources (such as rent, pensions, Social Security benefits, or alimony).
• Monthly Payment Bills: If you’re making monthly payments on any items, include the most recent billing statements.
• Insurance Proof: Have insurance records for all financed vehicles.
• Creditor List: List all creditors along with balances due.
• Retirement Statements: Include the latest statement for any retirement accounts, including IRAs and 401(k)s.
• Legal Agreements: Copies of recent divorce decrees, property settlements, or court orders for support payments.

3. Organize Your Financial and Property Records

Your attorney will need to see a full picture of your financial and asset holdings to advise you accurately.

• Addresses: Note every address where you have lived in the past 36 months.
• Legal Documents: Gather any court documents, such as lawsuits filed or ongoing cases within the last two years.
• Major Sales Records: Include documentation of any significant sales or transfers within the last 24 months.
• Property Inventory: List all personal and real property.
• Property Tax Records: Include your most recent property tax assessments.
• Ownership Titles: Copies of all titles for assets you own or have a stake in.
• Business Tax Returns: If you own a business, include recent business tax returns.
• Retirement or Investment Transactions: Documentation for any liquidated retirement or investment accounts within the past year.
• Mortgage Statements: Copies of any mortgages and recent closing statements, if applicable.

4. Finalize Documentation with Your Attorney

With all these records in place, you’ll be ready to meet with your attorney at Mark M. Kratter, LLC. Their skilled Fairfield County team will guide you through the process, file necessary documents, and help negotiate manageable payments or asset restructuring to set you on the path to financial health.

For personalized guidance, contact Mark M. Kratter, LLC, at their Norwalk, CT office at 203-678-8135 to get started on your journey to a fresh financial beginning.