Business & Finance Bankruptcy

How to Declare Bankruptcy in Colorado

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      Find out what types of bankruptcy you can file. In general you can file two types of bankruptcy: Chapter 13 and Chapter 7. The former will ask you to pay back as much of your debt as you can. The later will discharge your debts altogether. In Colorado you can file for chapter 7 bankruptcy if you meet certain income guidelines. You should earn between $35,000 and $67,000 if you want to file this type of bankruptcy.

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      Learn about the kind of exemptions you are allowed. In Colorado you can keep certain forms of income and property after you file for bankruptcy. This includes a home with up to $30,000 worth equity, disability insurance of up to $200 per month, life insurance proceeds, pensions and child support payments.

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      Hire a bankruptcy lawyer. Ideally you should have a lawyer to represent you. In Colorado look for a lawyer who understands your needs and has a background in bankruptcy. You can contact the Colorado Bar Association for a recommendation. The lawyer will walk you through the process of bankruptcy filing.

    • 4). Appear in court. Some states have multiple courts that deal with bankruptcy cases. Colorado has only one and that is headquartered in Denver. If you live far away you can ask your lawyer to appear for you. The lawyer will also help you fill out any required paperwork and will make sure that you pay any necessary fees.

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