For individuals who are burdened with excessive debt and see no way to escape it, bankruptcy may be the answer. Negotiating with creditors and debt consolidation should be considered prior to bankruptcy. However, if these potential solutions do are not viable options, bankruptcy may be the right alternative for solving severe financial difficulties. Bankruptcy is becoming more common in these tough economic times and it has also become more convenient. It is now possible to answer the question how to file bankruptcy online.

There are two main type of bankruptcy for individuals. The first type is Chapter Seven bankruptcy. This is also referred to as liquidation bankruptcy. The consumer’s debt is discharged and their property is sold (liquidated) by the court. The proceeds are then used to pay off their creditors. Chapter Thirteen bankruptcy is the other main type of bankruptcy. The goal with Chapter Thirteen bankruptcy is to renegotiate debt to manageable levels. The court will approve a new repayment plan with stated terms and conditions. Both types of bankruptcy offer consumers an alternative when dealing with financial problems.

In these technologically advanced times many consumers opt to declare bankruptcy online from the convenience of their home. This can be done by utilizing the Bankruptcy Court’s PACER system. The PACER ( Public Access to Court Electronic Records) system is an online database maintained by the Federal Courts. It is advisable to utilize the services of an attorney when filing for bankruptcy. Even if it is done online, the use of an attorney is recommended. Bankruptcy can be a complex process and mistakes can be costly. Professional help will reduce the chances for errors and ensure the process goes as smoothly as possible. Even though the process is done online, the attorney will usually want to meet with the consumer. Due to new bankruptcy laws, an attorney can be held personally liable for misrepresentations and omissions that occur during the bankruptcy process.

Filing for bankruptcy without the services of an attorney is called pro se. Pro se means “for oneself” in Latin, and this can be a viable option if there are few assets and the person filing is has the time and patience to do research on bankruptcy laws and procedures. There is a wealth of information on the PACER website that can help guide the consumer through the bankruptcy process. Reading this before deciding to proceed without a lawyer is recommended.

Filing for bankruptcy online is cost-effective and convenient. Though a court visit may still be necessary, time spent navigating the court system is greatly reduced. Make certain to check any submitted documentation carefully to avoid mistakes. Filing online can save time and money while eliminating some of the stress that comes with filing for bankruptcy.