The Timeline for Filing Bankruptcy in South Carolina

Filing for bankruptcy can be a complex process, and understanding the timeline involved is crucial for anyone considering this option in South Carolina. This guide will take you through the key steps and timelines associated with filing bankruptcy in the Palmetto State.

1. Pre-Filing Consultation (1-2 Weeks)
The first step in the bankruptcy process typically involves a consultation with a bankruptcy attorney. This initial meeting usually lasts an hour or two, during which you will discuss your financial situation, review your debts, and consider whether bankruptcy is the right option for you. This stage may take about one to two weeks, depending on your attorney’s availability.

2. Credit Counseling (6 Hours)
Before you can file for bankruptcy, you are required to complete a credit counseling course. This course usually takes about six hours and can often be completed online or over the phone. You must complete this course within 180 days before filing for bankruptcy. Make sure to obtain a certificate of completion, as you will need to submit it with your bankruptcy petition.

3. Preparing the Bankruptcy Petition (1-3 Weeks)
After completing the credit counseling, your attorney will help you gather the necessary documents and information to prepare your bankruptcy petition. This can include financial statements, tax returns, and proof of income. Depending on the complexity of your case, this preparation phase can take anywhere from one to three weeks.

4. Filing the Bankruptcy Petition (Day 0)
Once your petition is prepared and all documents are in order, your attorney will file it with the appropriate bankruptcy court in South Carolina. This marks the official beginning of your bankruptcy case. From this point forward, an automatic stay goes into effect, which stops most collection activities and lawsuits against you.

5. 341 Meeting of Creditors (4-6 Weeks Post-Filing)
Approximately 4 to 6 weeks after filing your petition, you will attend a meeting of creditors, also known as a 341 hearing. During this meeting, your bankruptcy trustee and creditors may ask you questions regarding your finances and bankruptcy petition. It is essential to prepare for this meeting with your attorney to ensure you provide accurate and complete information.

6. Discharge of Debts (3-6 Months Post-Filing)
If you are filing for Chapter 7 bankruptcy, you can expect to receive your discharge within three to six months after filing your petition. For Chapter 13 bankruptcy, the discharge can take significantly longer as it is contingent upon the completion of your repayment plan, which typically lasts three to five years.

7. Closing the Case (6-12 Months Post-Filing)
After your debts have been discharged, the bankruptcy case will be concluded. This generally occurs about six to twelve months after filing for Chapter 7, while Chapter 13 cases may take longer, depending on the repayment timeline. After your case is closed, you will receive a final decree from the court.

Conclusion
Navigating the bankruptcy process in South Carolina involves several critical steps and a specified timeline. By understanding each phase, from the initial consultation to the discharge of debts, individuals can better prepare themselves for the journey ahead. Working closely with a knowledgeable attorney can streamline the process and help ensure that you meet all necessary requirements along the way.