Miami Bankruptcy Attorney Blog

One of the biggest fears, for anyone is thinking of filing for bankruptcy, is that they have go to court.  They are expecting someone to yell at them or give them a hard time for filing for bankruptcy, likely that is not the case.  Most of the time your court hearing will only take between three and five minutes and you will be asked a few simple questions.

Here is the best way to prepare for your meeting of the creditors.

1.  Provide all the documents the trustee asks for, to your attorney.

• Tax returns, bank statements, canceled, checks, vehicle information, etc.

2.  Review your documents

• Know what the large checks you wrote were for, what you withdrew money from the bank for, etc.

3.  Review your bankruptcy petition

• The trustee is going to ask you questions about your bankruptcy petition and its contents so BE familiar with them.   It is best to review your petition with your bankruptcy attorney a day or so before the meeting of the creditors.

4.  BE TRUTHFUL

• When asked a question at the 341 meeting, answer truthfully.  Don’t be vague and ask the question answered.

5.  I DON’T KNOW

• It is ok to answer I don’t know at a 341 meeting, however it is not recommended.  If you answer I don’t know then you should follow it with I will provide you that information within seven days.

If you are thinking of filing for bankruptcy in South Florida and would like to speak with a local bankruptcy attorney then please contact Ofer Shmucher at Shmucher Law, PL by calling 305.741.5553 or 954.309.5559.  Shmucher Law, PL offers free consultations in any of the following office locations: Boca Raton, Fort Lauderdale, Miami, Plantation and Sunrise Florida.

Ok, so you have decided that perhaps bankruptcy might be a good option for you, you found an attorney who offers a free consultation (be weary of attorneys who don’t offer a free consultation for bankruptcy).  So now you are wondering what you can expect to get out of the free consultation.

Determine whether you are a good candidate for bankruptcy at all, and if yes which chapter would be best for you.

Be prepared to explain your story and how you got into your financial problem to the bankruptcy attorney.  Make sure not to leave out any critical parts because they could have a huge impact on your case.  Also be prepared to explain to the attorney any monies that you have received over the last year and more specifically the wages you received over the last six months.   The attorney will ask you questions about your assets as well.  Assets will include anything you own (bank accounts, cars, houses, jewelry, furniture, investment accounts, etc.)   If your name is on a title of something but you don’t think you own it, be sure to inform the attorney that you are on the title.  Based on these answers your attorney will be able to determine which type of bankruptcy would be right for you.

Bankruptcy No-No’s

Your attorney should ask you questions on whether or not you have transferred any assets in the last few years, whether you have paid off any debts to family members, or whether you have committed fraud for bankruptcy purposes.

Your Debts

You will need to explain to the attorney about the debts you have.  You don’t have to be too specific as to the amount but you need to be specific as to the type of debt, when it was incurred, and whether or not you made any repayments towards that debt.

Differences between Chapter 7 bankruptcy and Chapter 13 bankruptcy

Your attorney will be able to explain the difference between the two bankruptcy options as well as help you determine which one is better suited for your case.    The attorney can make that decision based on your assets and your income.

The Bankruptcy process

Your attorney will be able to explain the bankruptcy process to you in a manner that you can understand.  He or she will be able to inform you of the costs, the documents you will need, as well as the court process.

The Meeting of the Creditors

The attorney will need to explain to you about the meeting of the creditors (341 meeting).  This is your one “court” appearance.   You should ask the attorney about what questions will be asked of you and how you should answer them.

Life after bankruptcy

Make sure to have your bankruptcy attorney explain to you how your life will be post bankruptcy.  Ask questions about getting credit cards, getting a car loan, or getting approved for a home loan.

If you would like to schedule a free consultation with a bankruptcy lawyer then contact Shmucher Law, PL at 954.309.5559 or 305.741.5553.  We offer consultations in our main Bankruptcy Office in Miami or in our satellite offices (by appointment) in Boca Raton, Fort Lauderdale, Plantation, or Sunrise Florida.

When you file for bankruptcy you automatically get appointed a trustee in your case.  You also automatically have a court date scheduled for a meeting of the creditors (341 meeting).  At the meeting of the creditors your appointed trustee will be asking you certain questions about your bankruptcy petition in order to determine whether or not you have committed fraud or have attempted to hide assets prior to your bankruptcy filing.   Prior to your meeting your attorney will have to send the trustees office certain documents (including bank statements, tax returns, inventory lists, investment statements, car titles, etc.) for the trustee to review prior to your hearing.

So what is the purpose of the trustee asking you for your bank statements?  The trustee will look at your bank statements to determine whether or not you have depleted your assets prior to your bankruptcy filing.  Did you withdraw large sums of money over the last year?  Did you transfer monies to your friends or relatives account?  Did you transfer lots of money into your 401k or your IRA?  Did you intentionally state your income as X when really your income was Y based on your bank statements.  Things like these put your bankruptcy in serious jeopardy and will likely lead to adversary proceedings (which are lawsuits within a bankruptcy case).

If you are thinking of filing for bankruptcy and would like to speak with a bankruptcy lawyer then please contact Shmucher Law, PL at 954.309.5559 or 305.741.5553. We offer free consultations in Boca Raton, Fort Lauderdale, Miami, Plantation, and Sunrise Florida.

If you are ever online in website such as craigslist.org or similarly related sites you may have come across an advertisement for a bankruptcy preparer.  Most people don’t  know what a bankruptcy preparer is and what services they offer.  People see the low price that a preparer offers and automatically think that they can save money and use the preparer services.  Be warned that the hiring a preparer comes with consequences, here are a few:

• A bankruptcy preparer is NOT an attorney.  Under Florida law a bankruptcy preparer is barred from providing any legal advice to their clients.  That means they are not allowed to tell you what assets you can keep (exempt), which bankruptcy is right for you (either chapter 7 or chapter 13), or even tell you if you qualify to file for bankruptcy at all.  If you retain the services of a bankruptcy lawyer then he or she will be able to answer all your questions, help you protect your assets, as well as time your bankruptcy perfectly to make sure you don’t have to pay anything in a chapter 7 or make sure you qualify for the bankruptcy you need.
• Upon the filing of a bankruptcy, the debtor is required to attend a 341 meeting of the creditors.   During the meeting of the creditors the bankruptcy trustee will ask the debtor about their bankruptcy petition.  Also creditors will be allowed to ask the debtor similar questions.  The bankruptcy preparer is not allowed to attend the 341 meeting with the debtor, nor are they allowed to explain to the debtor on how to answer questions likely to be asked at a 341 meeting.  If you hire a bankruptcy lawyer then that lawyer will attend the 341 with you.  They will prepare you for the 341 meeting, including providing you with example questions and answers that you will be asked
• A debtor may be sued within a bankruptcy by a creditor.  If a debtor is sued then they cannot be represented by a bankruptcy preparer.
• A bankruptcy preparer has no knowledge of the local bankruptcy trustees and the documents they require.  Upon the filing of the bankruptcy the trustee will ask the debtor to supply certain documents by a certain date.  Each trustee requests different documents and provides different methods to produce the documents.  The failure to produce the documents will either delay or dismiss your case.  Using a bankruptcy attorney will ensure that those documents are provided in a timely manner so as not to hinder or delay the bankruptcy case.

Don’t make the costly mistake of using a bankruptcy preparer, instead use a bankruptcy attorney who will guide you the whole way through your bankruptcy case.  If you would like to schedule a free consultation with a bankruptcy attorney then please contact Shmucher Law, PL at 954.309.5559 or 305.741.5553.  We offer free bankruptcy consultations in Boca Raton, Fort Lauderdale, Miami, Plantation, and Sunrise Florida.

After filing numerous Chapter 7 bankruptcy petitions in the State of Florida I have come up with a mini-guide on how to painlessly and successfully file for bankruptcy.  The following are tips that any debtor should follow:

Tip 1:  Find a Bankruptcy Attorney

First and foremost if you are looking for a smooth and painless bankruptcy filing then find a bankruptcy lawyer in your area.   When you meet your lawyer ask them how many cases they have filed in the last year.  Remember just because the attorney looks old or has 30 plus years experience it doesn’t mean he or she has ANY experience in bankruptcy.  It may be the case that the attorney’s true field of practice has yielded no business and the attorney now is attempting to obtain new business by marketing him or herself as a bankruptcy attorney.

Tip 2:  Disclose Everything to your Attorney

When you have your first bankruptcy consultation with an attorney make sure to answer all his or her questions TRUTHFULLY.  Failure to answer questions truthfully or with incorrect information could have severe consequences in your case, including lawsuits against family members or friends, loss of assets, or denial of discharge.  If your attorney isn’t asking you LOTS of questions about your situation then you need to find a different attorney.  Expect your attorney to ask you specific questions going back up to two years before your bankruptcy filing.

Tip 3:  Come Prepared to your Consultation

Debtors need to come prepared to their consultation meetings. Prepared involves the gathering of certain documents including bank statements, tax returns, paystubs, valuations on real estate, vehicles, or any other assets.  Again if your bankruptcy attorney doesn’t ask you to provide these documents then you need to go find another bankruptcy attorney.

Tip 4:  Review and sign your bankruptcy petition before it’s filed

When your bankruptcy attorney puts your information into the computer he or she will generate a bankruptcy petition (what gets filed with the court).  You need to review and sign the petition before it gets filed with the court.  Do NOT let an attorney file a bankruptcy petition that you haven’t reviewed.

Tip 5:  Prepare for and Attend the Meeting of Creditors (341 meeting)

Yes, the dreaded meeting of creditors (341 meeting).  Surprisingly this should be the easiest and quickest part of the whole bankruptcy process.  Speak to your attorney a few days before the 341 meeting so they can prepare you on how to answer questions.   Hopefully you have an attorney who will show up to the 341 meeting with you, rather than send you an associate that you have never met before.

Tip 6:  Complete Post-Petition Bankruptcy Course

In order to obtain your bankruptcy discharge you must complete the debtor’s education course.  This course is usually done on the computer and takes two hours to complete.  Failure to complete this course will close your case without giving you a bankruptcy discharge.  Why complete 99% of the work and not obtain a discharge.  Call your bankruptcy attorney and he or she will tell you where to take the class.

That’s it!  Hire the correct bankruptcy attorney and follow those steps to have a successful and painless bankruptcy filing in Florida.

If you are thinking of filing for bankruptcy and would like to schedule a free consultation with a bankruptcy lawyer then please contact Shmucher Law, PL at 954.309.5559 or 305.741.5553. We offer free consultations in Boca Raton, Fort Lauderdale, Miami, Plantation, and Sunrise Florida.

One of the most important questions people as me is what is the time frame for a bankruptcy in Florida.  While the time frame for each case is different because it depends on how long it takes to draft a bankruptcy petition generally it goes as follows:

1. Schedule an appoint for a free consultation at Shmucher Law, PL
   1. Call 954.309.5559 or 305.741.5553 to schedule an appointment in any of our five office locations:  Boca Raton, Fort Lauderdale, Miami, Plantation, and Sunrise Florida.
   2. Bring all necessary documents to the initial consultation
   3. Review your case with the bankruptcy lawyer and begin to fill out the bankruptcy petition.
   4. Approximately seven days or less after the initial consultation the bankruptcy petition will be ready to review, sign, and make any necessary changes.  Once all the changes are ready the petition can be filed.
   5. File the petition.
   6. Approximately 30 to 45 days after the bankruptcy petition has been filed the debtor will need to appear in court for their meeting of the creditors (341 meeting).
   7. 60 days after your meeting of the creditors or about 90 days after your bankruptcy has been filed you will receive your discharge in the mail, and all the debts on your bankruptcy petition will likely be discharged.

So in short the timeline for a successful chapter 7 bankruptcy filing in Florida takes about  three months from start to finish.

If you are thinking of filing for chapter 7 bankruptcy in south Florida then please contact Shmucher Law, PL for your free initial consultation.

Approximately 30 days after a debtor files for bankruptcy in the greater Miami or Fort Lauderdale area they are required to appear at meeting of the creditors (the “341 meeting”).  The 341 meeting is a scheduled court appearance in Florida where the debtor will be asked questions regarding his or her assets and debts.  Typically the only person that will ask the debtor questions about their case are the Bankruptcy Trustees but in rare occasions creditors will show up to ask questions.  Here are examples of typical questions that a debtor will be asked in the 341 meeting:

1. Did you review your bankruptcy petition with your attorney?
2. Do you remember signing your bankruptcy petition?
3. Is your bankruptcy petition correct with regards to your assets?
4. Do you owe any alimony or child support?
5. Have you given or transferred any assets in the last year?
6. Do you owe anyone money that you didn’t list on your bankruptcy petition?
7. Specific questions regarding your assets including
   1. When you purchased your home
   2. How long you have lived in your home
   3. If you own your own business – what the business does, and if it owns any assets?

Typically it is best for a debtor to answer every question with a simple yes or no and only supply additional information when the trustee requests.  The trustee’s questions are not intended to trick or deceive the debtor but rather they are questions that the debtor should be able to easily answer.  If the debtor doesn’t know the answer to a question it is ok.

If you are considering bankruptcy, contact Shmucher Law, Pl to schedule a free consultation.  Managing attorney Ofer Shmucher will personally meet with you in a confidential setting and help determine if bankruptcy is the right option for you.