What Information Is Needed to File Chapter 7 Bankruptcy?
In order to file for Chapter 7 bankruptcy, a debtor must provide a complete and accurate list of financial liabilities (debts), including: mortgages and car loans, credit card debt, medical bills, student loans, tax liabilities, alimony and child support obligations, personal loans, money owed to family or friends, 401(k) loans, loans against life insurance policies, and other financial obligations. The debtor must also provide a complete listing of all assets. In a Chapter 7 case, those assets become the property of the “bankruptcy estate.” The debtor then uses exemption outlined in the bankruptcy statutes to, in effect, “take back” from the Minnesota Bankruptcy Court all assets that are exempt. Learn more about exempt and non-exempt assets on the bankruptcy terms and definitions. What Happens to Property in Bankruptcy? In Minnesota, debtors have the option of using either state or federal exemptions, depending upon which set of exemptions best fits the debtor’s needs. The federal and
