When it comes to filing for bankruptcy, it is always good to have legal counsel at your side to ensure you are doing everything correctly and on time. Our local Chapter 7 bankruptcy attorneys at Gillman & Capone know how to make the process as smooth as possible.
The cost of filing a Chapter 7 bankruptcy in Edison, NJ would include attorney fees, the court’s filing fee, and the cost of obtaining necessary credit reporting, appraisals of real estate, and two courses required under the Bankruptcy Code: a Pre-Filing Credit Counseling Course and a Post-Filing Financial Management Course. As of 2026, the filing fee for a Chapter 7 bankruptcy is $338.
For a client in Edison who wants to file a Chapter 7 bankruptcy, we provide a complete list of all documents and information that we believe necessary to represent them in the proceeding. This may include proof of their income, bank statements reflecting their past and current bank balances and transactions, and at least the last two years of federal and state tax returns.
It may be helpful for the client to obtain a credit report to indicate the outstanding debts or prepare their own list of creditors to give an assessment of the amount that may be due. The client should have a government-issued photo ID and proof of their Social Security number, which is required to proceed with the bankruptcy filing.
The client should also have information regarding their assets. If they own their own home or other real estate, they should have a copy of their deed, mortgage statements, proof of their homeowner’s insurance policy, information about their insurance coverage, and statements from any other assets like stock or brokerage accounts, and retirement assets.
An attorney can provide the client with all the information and documents required to proceed. We are also prepared for the possibility that the client might not have all the information available initially and can provide steps to obtain it based on previous experience.
From the time that a client hires us, to the completion of a personal Chapter 7 bankruptcy, it typically takes between one week and three months, depending on the client’s ability to provide information and file the bankruptcy petition. If the claimant can provide all the necessary information, we can quickly prepare a complete and accurate bankruptcy petition to ensure the best results in the case.
Once a case is filed, the bankruptcy process will typically take no more than three to four months. The client’s participation in that process would include an appearance at a creditor’s meeting with one of our partner attorneys and completing online courses required under the Bankruptcy Code.
When a Chapter 7 bankruptcy is filed in Edison, notice will be given to all the client’s creditors who are listed on the bankruptcy petition. It is not required that that a debtor notify their employer, or any tax agency unless they owe outstanding taxes. It is very common that we represent married individuals who do not file bankruptcy cases jointly with their spouses. We feel it is important that the spouse is aware of the bankruptcy filing, as there may be documents needed to ensure we can protect them from negative consequences. However, unless the spouse is a co-debtor on any debt, it is not necessary to provide notice of the bankruptcy filing.
A person who is filing a Chapter 7 bankruptcy will do so in New Jersey Federal Bankruptcy Court. Bankruptcy courts in New Jersey are divided into three vicinages that are based on the filing debtor’s home address. A person living in Edison will be in Middlesex County, which means they are assigned to the Trenton vicinage.
A person filing a Chapter 7 bankruptcy will need to disclose all their assets, debts, creditors, current income, as well as their income in the past six months and in prior years.
The person will also need to provide a schedule of their monthly expenses. They must disclose historical information about their financial transactions such as tax filing, transfers of property, involvement in litigation, claims against third parties, and other information. The required disclosure is significant but can be limited on a case-by-case basis with a complete and proper initial evaluation.
A business does not need to complete a pre-filing credit counseling course to file a bankruptcy petition, and they do not have some of the issues that are associated with a personal filing. Additionally, in a personal bankruptcy, the debtor will seek a discharge of debt, releasing them from their obligations. That client will have a financial life after the bankruptcy. On the other hand, a business that files a Chapter 7 bankruptcy will be required to close on the day the case is filed and turn over the legal title of all their assets to the appointed trustee. There will be no discharge entered. The bankruptcy trustee will determine whether they wish to liquidate any or all the business assets; and when that is completed, the case will be closed.
The classification of the business may or may not be a factor. For example, an LLC, corporation, or legal partnership is ultimately a business entity, and for the purposes of the bankruptcy filing, it is treated in a similar way. It would be potentially different for a sole proprietorship to file a bankruptcy that may or may not be considered a business bankruptcy. As with anything, the experience and history of any business entity have a significant effect on how it may follow the bankruptcy case, and the impact of the bankruptcy on the business and its owners.
When our bankruptcy attorneys meet with a client, the first thing we review is the benefits and drawbacks of a Chapter 7 bankruptcy filing to make sure it is in their best interest to do so. A Chapter 7 bankruptcy, which has been called a “fresh start,” offers a terrific opportunity to reset their financial circumstances after accumulating debt because of job loss, medical issues, divorce, and other circumstances. Once a bankruptcy case is filed, the process can be relatively smooth and would allow the opportunity for the client to move on with their financial lives and truly get a fresh start.
Schedule a case evaluation with our office in Edison and learn more about the process for filing a Chapter 7 bankruptcy.
Gillman Capone Law Group
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