How to Prepare for Your Initial Consultation With a Bankruptcy Attorney

How should you prepare for your first consultation with a Bankruptcy attorney? An attorney's advice can be complete and accurate only when the information you provide is complete and accurate. The following list is the minimum you will need for your initial consultation:

Asset Information:

Real Estate equity analysis. For each property you own, you need to have determined today's fair market value and the pay-off amount for any mortgage or lien. You will need to have:

1. A tax bill that shows the assessed value;
2. Appraisal or market analysis prepared by a real estate broker;
3. Mortgage statement which indicates your principal balance;
4. Information with reference to equity loans or liens on the real estate;
5. Your Deed; and if applicable;
6. Homestead.

Personal Property: You will need to determine the fair market value of all personal property you own. In many instances, the market for your asset is the "yard sale". In other instances, you will have a statement from an independent third party to determine the value.

1. Recent bank statement for all bank accounts;
2. IRA, pension or Profit Sharing Plan statement from employer or Plan administrator and literature describing the Plan;
3. Bluebook wholesale and retail value for vehicles;
4. Appraisal for jewelry and other valuables;
5. List of items in your home that you could sell;
6. Life insurance policy cash surrender value.

Liability Information:

Your creditors are classified as:

1. Secured;
2. Priority; and
3. Unsecured.

Your information must be complete and accurate (name, address, account number, amount owed):

1. Secured Creditors:
2. • Prepare a list of your secured creditors and identify the collateral securing the loan;
   • Have documentation (mortgage or security interest) of the security interest and date the interest attached;
   • Bring the latest statement of the principal balance due to the creditor.
3. Priority Creditors:
4. • Outstanding taxes; real estate taxes or income taxes;
   • Outstanding alimony or child support;
5. Unsecured Creditors:
6. • Prepare a list, in alphabetical order, of all your creditors with the amount owed;
   • Have available the latest statement for each credit card;
   • Know the date of the last time you used each credit card.

Income and Expense Information:

To complete the Chapter 7 Liquidation analysis, your attorney will need information about you income and expenses:

1. Income. You will need to bring the following information:
2. • Last two year's income tax returns with W-2 and 1099 support;
   • Four most recent pay stubs;
   • Proof of any other income.
3. Expenses. Make sure you have gone through your check book or other records to verify your numbers:
4. • Prepare a budget of your basic living expenses (see Official Forms, Schedule J); *Page Attached
   • In "other" make note of items or categories of expenses not listed in the schedule, such as:
   • • Haircuts
     • Lunches out
     • Postage
     • Cigarettes
     • Banking Fees
   • Don't forget to figure the cost of car repairs in "transportation" and out of pocket medical expenses such as:
   • • Co-payments
     • Eyeglasses
     • Dental Hygiene
     • Prescriptions

OFFICIAL FORMS No. 6

In re ______________________________ (Debtor)
Case No. _________________ (If Known)

SCHEDULE J - CURRENT EXPENDITURES OF INDIVIDUAL DEBTOR(S)

Complete this schedule by estimating the average monthly expenses of the debtor and the debtor's family. Pro rate any payments made bi-weekly, quarterly, semi-annually, or annually to show monthly rate.

( ) Check here if a joint petition is filed and debtor's spouse maintains a separate household. Complete a separate schedule of expenditures labeled "Spouse".

Rent or home mortgage payment (include lot rented for mobile home) $ ________
Are real estate taxes included? Yes_____ No _____
Is property insurance included? Yes_____ No_____
Utilities: Electricity and heating fuel $ _________
Water and sewer $ _________
Telephone $ _________
Other _________________________ $ _________
Home maintenance (repairs and upkeep) $ _________
Food $ _________
Clothing $ _________
Laundry and dry cleaning $ _________
Medical and dental expenses $ _________
Transportation (not including car payments) $ _________
Recreation, clubs and entertainment, newspapers, magazines, etc. $ _________
Charitable Contributions $ _________
Insurance (not deducted from wages or included in home mortgage payments) $ _________
Homeowners' or renters' $ _________
Life $ _________
Health $ _________
Auto $ _________
Other _______________________ $ _________
Taxes (not deducted from wages or included in home mortgage payments) $ _________
(Specify) __________________________________________ $ _________
Installment payments: (In Ch. 12/13 cases, do not list payments included in the plan) $ _________
Auto $ _________
Other __________________________ $ _________
Other __________________________ $ _________
Alimony, maintenance, and support paid to others $ _________
Payments for support of additional dependents not living at your home $ _________
Regular expenses from operation of business, profession, or farm $ _________
(attach detailed statement)
Other ____________________________________________ $ _________

TOTAL MONTHLY EXPENSES (Report also on Summary of $ _________

Schedules

(FOR CHAPTER 12 AND 13 DEBTORS ONLY)
Provide the information requested below, including whether plan payments are to be made bi-weekly, monthly, annually, or at some other regular interval.

A. Total projected monthly income $ _________
B. Total projected monthly expenses $ _________
C. Excess income (A minus B) $ _________
D. Total amount to be paid into plan each $ _____________
_____________ (interval)