How to File for Bankruptcy in Menifee, Arkansas
- 1). Attend a credit counseling session with an accredited credit counselor. Participating in a 90-minute minimum credit counseling session is required before you can even file for bankruptcy. This is to make sure you understand all your options so you can make the best decision about whether to file for bankruptcy, and if so, what type of bankruptcy is best for your personal situation. No credit counselors are located in Menifee, so you will have to travel to Little Rock or Morrilton for your session.
- 2). Determine if you pass the means test for Chapter 7 bankruptcy. The means test is largely based on median incomes in the Menifee area. If you do, then you can file for Chapter 7 bankruptcy to have all of your debts discharged. If not, then you are required to file a Chapter 13 bankruptcy and reorganize. When you reorganize, a portion of your debts are forgiven, and you begin repaying the remainder. How much is forgiven and how much you must repay is negotiated among all parties, but is largely based on your ability to repay.
- 3). Decide whether you will file for Chapter 7 or Chapter 13 bankruptcy. Even if you qualify for Chapter 7 bankruptcy, consider Chapter 13 as it might still be the better alternative if you are suffering from an extended cash crunch but have significant assets you would like to hold on to in the long run. Bankruptcy lawyers are available in both Morrilton and Conway.
- 4). Fill out the the appropriate voluntary bankruptcy petition and other application materials carefully. Mail or deliver the petition and all supporting materials (including proof of completion of credit counseling session) in person to the Arkansas Eastern District Bankruptcy Court. The closest bankruptcy court to Menifee is in the state capital of Little Rock.
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