Clients often wonder how much they should dress up for their 341 meeting, also called the meeting of creditors. Though the meeting does not take place in court, meetings with the trustee are often held in a courthouse or other government building. Clients want to make sure they are making the right impression, which generally means dressing business casual.

In general, student loan debt is not dischargeable in bankruptcy. The Bankruptcy Code prohibits the discharge of student loans in almost every instance. This boggles the mind given how burdensome student loan debt is to so many Americans, but student loans are not currently covered in bankruptcy.

When filing for bankruptcy, debtors are able to exempt certain assets from the bankruptcy. In other words, there are some assets a debtor can definitely keep in a bankruptcy, be it a home, car, personal belongings, or other property, up to a certain amount of value. In Minnesota, bankruptcy filers can choose to take state or federal exemptions, but not both. Depending on the asset, the state or the federal exemption will be more generous. The exemptions change periodically to adjust for inflation.

 Many people fear that filing bankruptcy means they will never be able to get a loan again—their credit will be ruined and they can kiss any future large purchases goodbye. Not so. Bankruptcy certainly affects credit, but the effects are not overwhelmingly dire, nor irreversible.

A discharge is a court order stating that a debtor is relieved of paying his or her debts. This is the aim of bankruptcy. Bankruptcy does not discharge every type of debt, however, so if you are having trouble paying any of the following debts, bankruptcy may not be right for you.

An important category of documents needed for a 341 meeting is bank statements. The trustee wants to see statements from any kind of account you had on the day you filed for bankruptcy, even if the account had zero dollars in it. The trustee needs statements from every account listed in the bankruptcy petition.

Four types of bankruptcy are available under federal law. They are each intended for different types of debtors and are outlined in Chapter 7, 11, 12, and 13 of the Bankruptcy Code.

There are countless hurdles in life that can push us into financial hardship and no one’s journey to and through bankruptcy is exactly the same. But there do tend to be unavoidable similarities in many cases: drop in income, the dissolution of a relationship, and medical debt are facts of life for many of our clients.

Judgments are issued when a creditor or debt collector takes you to court for the debt that you owe. A summons is sent to you and if you do not respond to that summons or if you lose the case, the court will issue a judgment in favor of the creditor.

Kain & Scott offers a FREE 90-day Credit Repair Program for all of our clients who file a Chapter 7 or 13 bankruptcy through us. A Credit Repair Specialist can help you start rebuilding your credit as efficiently as possible. The program’s services can be performed at any time, but are free for the first 90 days after discharge.

At Kain & Scott, the final step before filing a bankruptcy is the Review & Sign appointment. Clients come into the office to prepare the bankruptcy petition and make sure the client is ready for filing. Being prepared ensures this meeting goes smoothly and allows the bankruptcy to be filed promptly, generally within days of the appointment.

One thing we hear almost daily from our clients is how they wish they would have filed for bankruptcy sooner. They wish they would have pushed aside all of their preconceived ideas about filing and the negative stigmas and gone with their gut.

Many of our clients find themselves filing for Chapter 7 bankruptcy because they are out of options. And while bankruptcy is supposed to give you a fresh start, we understand that it often feels more like a defeat. Many clients worry if they will ever be able to qualify for a loan after their bankruptcy case. While you may have to pay a higher interest rate and meet other requirements, the good news is that getting financing after your Chapter 7 bankruptcy is easier than you might think. An experienced Minnesota bankruptcy attorney can help you develop a plan and identify your options.

Deciding to file for bankruptcy is a big step, especially if you own and operate a business. You need to get out from under your debts, some which were directly related to your business, while other debts were strictly personal. Business owners worry about how the bankruptcy will affect their business, with good reason - the idea of closing down your business and the loss of income can be quite worrisome. The good news is that the point of bankruptcy is to help you make a fresh start, not make your life more difficult.

In the first part of this topic, we discussed developing good financial practices to help you rebuild your credit. If you haven’t already read that post, we strongly recommend that you review it before reading this one - the steps discussed in this post won’t do you much good if you haven’t yet gotten your financial house in order. Good financial habits are a necessity when it comes to rebuilding your credit after bankruptcy.

Getting your bankruptcy discharge is a milestone event in reclaiming your financial future. In some ways, however, this is just the beginning. In order to maximize the value of your bankruptcy and get back on the right track, you need to rebuild your credit. For many people, this means relearning how to manage their finances.