Dismissals & Filing Yourself

[anonymuse]

Just found this note on the Colorado BK web site:

Please be aware that through January 20, 2006, 81% of the cases dismissed under the new provisions of the Bankruptcy Code were filed by debtors who did not have an attorney.

I'm assuming these statistics are for Colorado only; however, they are probably representative of the national statistics.

[SinkingFast]

I'd say that's fairly accurate nationwide.

I know its anecdotal evidence, but our attny said no Pro Se filer has successfully filed under the New Law in the Court here. Every case has been dismissed due to inaccuracies in the petitions. The Court finds something wrong and gives the filer 45 days to fix it. But the Court doesn't tell the filer what's wrong or how to fix it. So their 45 days runs out and their case gets dismissed.

Now you have to keep in mind that our Court here is an extension branch of the Main Court in another city. The Main Court has the bulk of the filings in our area. There may have been Pro Se filers at the Main Court file successfully, so that would bring the ratio more in line with what you've read.

[anonymuse]

From "The Bankruptcy Blog"

http://blog.totalbankruptcy.com/archives/bankruptcy-courts-13-pro-se-filings-on-the-rise-and-putting-debtors-at-risk.html

Pro Se Filings on the Rise - and Putting Debtors at Risk
April 10, 2006 | Posted By Kevin Chern Esq. Comments / Questions (1) |

If New Mexico statistics give us any indication of bankruptcy filings across the country, then the number of debtors filing for bankruptcy protection without the assistance of an attorney has nearly doubled since October, 2005.

The Associated Press article reporting this trend speculates that it is the recent increase in bankruptcy attorney fees that's inspired more debtors to go it alone. Unfortunately, the reason that fees have recently increased is that new statutory requirements that went into effect in October, 2005 make the logistics of filing bankruptcy much tougher.

Although the vast majority of people who would have filed bankruptcy under the old law still qualify, there's a lot more paperwork involved. And, there are much harsher consequences for failing to complete all of the necessary prerequisites and documentation.

Since a debtor can lose the protection of the automatic stay, see his case dismissed, and face foreclosures and repossessions that might otherwise have been avoided, the risk of proceeding without adequate legal information is greater than ever.

[anonymuse]

Here's the actual AP article:

Do-it-yourself bankruptcy rate rises
By ASSOCIATED PRESS
April 10, 2006

Do-it-yourself bankruptcy filings are on the rise among New Mexico consumers since a new law took effect Oct. 17.

The do-it-yourself bankruptcies - officially called pro se filings - made up about 17 percent of bankruptcies in the state from Oct. 17 through February, compared with 9 percent in prior years, according to the U.S. Bankruptcy Court District of New Mexico.

The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 resulted in higher attorney fees, which may account for the rise in self-filings.

The new law requires people to take credit counseling and to file more documents to the court.

Overall, bankruptcy filings have dwindled since the law took effect to 43 filings in November and 157 filings in February. In 2004, the monthly average was 793 filings.

Some bankruptcy attorneys and other observers expect filings to gradually return to a level just shy of normal by this fall.

Nathalie Martin, a University of New Mexico law professor, said the new law makes it difficult for consumers to file for bankruptcy, with or without a lawyer.

"There are so many complications and hoops to jump through, you might just want to live through it," Martin said.

[krobin02]

I filed pro-se on 01/18/06 and according to reports on Pacer,I am in the clear and just waiting for the discharge. Trustee made it no asset and recommended discharge.