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How to file a creditor's bankruptcy application Place a deposit with the Official Assignee. ... File the documents via eLitigation. ... Collect the endorsed documents. ... Serve the endorsed documents on the debtor and the Official Assignee. ... File the affidavit of service.
Fraud. A court might disqualify you from the bankruptcy process if they believe you attempted to defraud your creditors. This also applies to situations where debtors attempt to hide their assets.
The bankruptcy process begins with a petition filed by the debtor, which is most common, or on behalf of creditors, which is less common. All of the debtor's assets are measured and evaluated, and the assets may be used to repay a portion of the outstanding debt.
The person filing for bankruptcy is the one who pays for the bankruptcy, either the individual or the creditor in a forced bankruptcy.
Chapter 7 Bankruptcy Also known as liquidation or straight bankruptcy, Chapter 7 is the most common type of bankruptcy for individuals. A court-appointed trustee oversees the liquidation (sale) of your assets (anything you own that has value) to pay off your creditors (the people you owe money to).