Before filing a Chapter 13 case, an individual debtor must obtain credit counseling from an approved credit counseling agency.  The debtor must receive credit counseling during the 180 days before the bankruptcy petition is filed.  If the debtor is married and filing a joint petition, both debtors must obtain credit counseling.  Credit counseling may be conducted over the phone, over the internet or in person.  When the credit counseling is completed, the credit counseling agency issues a credit counseling certificate.

In the voluntary petition, a check mark should be placed in the appropriate box indicating one of the following regarding the debtor's credit counseling briefing:

• Box 1 states that the debtor(s) received credit counseling within the 180 days before the filing of the petition and they have the certificate from the agency.
• Box 2 states that the debtor(s) received credit counseling within the 180 days before the filing of the petition, but they do not have the certificate from agency.

Limited exceptions to the credit counseling requirement are addressed in Box 3 and Box 4:

• Box 3 states that the debtor(s) requested counseling from an approved agency, but were unable to obtain services within 7 days of the request and they are filing for exigent circumstances.  This means that unusual things happened that prevented them from getting the credit counseling before they filed the petition.  The circumstances must be described in detail.
• Box 4 states that the debtor(s) are not required to receive credit counseling because of incapacity or disability (defined in 11 U.S.C. §109(h)(4)), or active military duty in a military combat zone.

Click here to locate an approved Credit Counseling Agency.

Click here for more information about Credit Counseling

Note: Credit Counseling is not the same as the Personal Financial Management Course (Debtor Education).  The Personal Financial Management Course is required AFTER the petition is filed and must be completed before receiving a discharge.  See section titled "What is the Personal Financial Management Course (Debtor Education)?" for more information.

Click here for the complete Fee Schedule

The court does not accept cash or personal checks. EXCEPTION: Attorneys may pay by personal check bearing Esquire, Attorney at Law or any other designation that identifies you as an attorney.  Payment may be made by money order, certified check, or bank check.  Payments must be made payable to the Clerk, United States Bankruptcy Court.

If the full filing fee cannot be paid at the time the petition is filed, individual Chapter 13 debtors may apply for an installment schedule.

To pay the filing fee in installments, file Official Form B103A - Application for Individuals to Pay the Filing Fee in Installments. Debtors can make up to four installment payments.  The final installment must be made within 120 days after the petition is filed.  If the debtor fails to pay any installment when due, the case may be dismissed and the debtor will not receive a discharge of debts. 

E:FILING GUIDANCE:  (1) E:Filing attorneys must pay by credit card via the internet.  (2) If you are requesting an installment schedule, e:file Official Form B 103A using the "Pay Filing Fees in Installments" event located in the Motions/Application category.  Click here for docketing instructions.

Click here for the complete Fee Schedule

If you are filing hard copies, include an original and one copy of all forms.

E:FILING GUIDANCE: Simply e:file all forms.  Do not submit hard copies unless directed to do so by the court.

ALL BLANK SPACES AND LINES ON EACH FORM must be completed.  Some forms contain boxes to indicate that the debtor has nothing to report or a question does not apply.  On all other forms, the debtor should either insert “N/A” or “None” in response to any question or request for information that is not applicable or should cross out a printed statement that does not apply and initial the cross out.

Sensitive information should not be included in any document filed with the court unless such inclusion is required by statue, Federal Rules of Bankruptcy Procedure or Official Bankruptcy Forms, or the inclusion is otherwise necessary and relevant to the case.  You must remember that any personal information not otherwise protected will be available on the internet via PACER.

Social Security numbers should only include the last 4 digits, except when the full number is required.  Financial account numbers, dates of birth and names of minor children should only be included if required.  Exercise caution when filing any of the following:

• any personal identifying number, such as driver’s license number
• medical records, treatment and diagnosis
• employment history
• individual financial information
• proprietary or trade secret information.

The Clerk’s Office will not review documents for the purpose of redacting sensitive information.  The court will image all pleadings as submitted even if they contain personal identifying information.

Click here for our court’s Privacy Guidelines.

The following MUST be filed:

• Official Form B101 Voluntary Petition for Individuals Filing for Bankruptcy
• Official Form B121 Statement About Your Social Security Numbers (this is only required when filing hard copies.  This form is not required when e:filing)
• Credit Counseling Certificate
• Creditor Matrix (there must be at least one creditor on the creditor matrix)

In addition, you must include the full filing fee OR Official Form B103A Application for Individuals to Pay the Filing Fee in Installments. See "What is the fee to file a Chapter 13 petition?" for information on the Chapter 13 filing fee.

E:FILING GUIDANCE: When using BK Case Opening - Voluntary, you must select "Y" from the Deficiencies drop down list on the first screen.  Several screens later, you will be presented with a list of required documents and you must select the documents you are missing. 

Failure to file all required documents at the time the petition is filed will result in the issuance of an Order to Show Cause.  The Order to Show Cause advises the debtor that a hearing to dismiss the case has been scheduled.  If the required documents are filed before the hearing, the Order to Show Cause will be withdrawn.  Any motion or other objection that is filed will be considered a Motion for Extension of Time to File Schedules, Statements, and Other Documents, and will be scheduled by the court to be heard on the same state and time as the Order to Show Cause.

Click here for the proposed order; Order Re: Extension of Time to File Schedules

E:FILING GUIDANCE: Use the Extend Time event in the Motions/Applications category and upload the proposed order as an attachment to the application.  Click here for docketing instructions.

Shortly after the petition is filed, a Chapter 13 trustee is appointed and the court issues a Notice of Chapter 13 Bankruptcy Case, Meeting of Creditors & Deadlines.  This notice is sent to all creditors in the case and contains the following  information:

• Debtor’s name and address
• Date/time/location of the First Meeting of Creditors (also known as 341 Meeting)
• Deadline for creditor to file a proof of claim, if it appears there will be assets that can be liquidated to pay creditors.
• Deadline to file a complaint objecting to discharge or dischargeability
• Deadline to object to the property claimed as exempt

Note: Please read the notice carefully. 

All debtors MUST attend the First Meeting of Creditors. Failure to attend may result in the dismissal of the debtor’s case.  If a married couple files a joint case, both debtors must appear at the meeting.  At the meeting, the Chapter 13 trustee will ask the debtor questions, under oath, about what he or she owes and owns, the debtor’s income, and the Chapter 13 Plan. 

The Chapter 13 Plan is a repayment plan, typically spread out over three to five years.

The Chapter 13 Plan must:

• provide for payments of fixed amounts to the trustee on a regular basis, typically monthly
• provide for the full payment of all claims entitled to priority under section 507 such as taxes and child support (unless the holder of a particular claim agrees to different treatment of a claim)
• provide for equal monthly payments to secured creditors to be paid through the Chapter 13 plan
• if the plan classifies claims,  provide for the same treatment for each claim within each class.

After the Meeting of Creditors has taken place, the Court will hold a hearing to determine whether the plan filed with the court is feasible, complies with all requirements, and is otherwise confirmable.  This hearing is referred to as the Confirmation Hearing.  Creditors receive notice of the hearing and may object to the confirmation of the plan.

The debtor must commence making payments to the Chapter 13 trustee during the first full month following the filing of the case.  Once the plan is confirmed by the court, the trustee will distribute the funds to creditors according to the terms of the plan.

Once the petition is  filed with the court, the automatic stay will go into effect.  The automatic stay is an injunction that automatically stops lawsuits, foreclosure, garnishments and all collection activity against the debtor by their creditors for any debt which arose before the filing of the bankruptcy.

Note: There are exceptions which may result in the automatic stay not going into effect, or being limited in duration.

Some, but not all exceptions are listed below:

• Debtor had a previous case pending within the preceding one-year period, but the case was dismissed. In this situation, the automatic stay would terminate on the 30th day after filing the new case, unless the debtor applies for an extension of the automatic stay.
• Debtor had more than one previous case pending within the preceding one-year period, but the cases were dismissed.  In this situation, the automatic stay does not go into effect unless the debtor applies for imposition of the stay.

A creditor may file a Motion to Lift the Automatic Stay, which is a request by a creditor that, if granted, would allow the creditor to collect a debt against a debtor or the debtor’s property that would otherwise be prohibited by the automatic stay.

The original schedules filed with the petition may need to be amended. See D.N.J. LBR 1009-1. 

The addition of new creditors requires a new creditor matrix containing only those creditors being added.  Click here for the complete Fee Schedule.  A fee does not apply if you are simply amending the address of a listed creditor or adding the name and/or address of an attorney for a listed creditor.

E:FILING GUIDANCE: Use the Amended List of Creditors event (click here for docketing instructions)  or the Amended Schedules event (click here for docketing instructions) located in Misc. Events category.  If a fee is required, CM/ECF will provide the credit card screens.

• The debtor must continue to pay all regular bills as they come due, including monthly mortgage payment or rent.
• The debtor must make monthly payments to the Chapter 13 Trustee according to the Chapter 13 plan.
• If the debtor intends to sell any assets (including their home or car) while their Chapter 13 case is open, they must get court approval to do so by filing a motion with the court. Click here for the local rule on motions  DNJ LBR 9013-1
• If the debtor plans to use a real estate broker, they must have court approval of the retention. Click here for an  Application For Retention of Professional
• If the debtor intends to refinance existing debt (including their mortgage) or incur new debt, the debtor must obtain court approval to do so by filing a motion.

A discharge releases a debtor from personal liability for certain debts known as dischargeable debts and prevents the creditors owed those debts from taking any action against the debtor or the debtor's property to collect the debts.  The discharge also prohibits creditors from communicating with the debtor regarding the debt, including telephone calls, letters, and personal contact.

When all plan payments have been made, a Chapter 13 debtor is eligible for a discharge, as long as the debtor:

• certifies (if applicable) that all domestic support obligations have been paid;
• has not received a discharge in a Chapter 7, 11 or 12 case during the four years preceding the new case;
• has completed an approved personal financial management course and the Certificate issued by the course provider has been filed by the debtor or by the course provider.

Creditors provided for in the Chapter 13 plan may no longer initiate or continue any action against the debtor to collect debts that have been discharged.  However, there are exceptions to the discharge, which include:

• debts for alimony and child support
• most student loans
• debts arising from death or personal injury caused by driving while intoxicated or under the influence of drugs, and
• criminal fines or restitution debts

Debtors are required to complete an instructional course in personal financial management as a condition for receiving a discharge.  This course is in addition to the credit counseling requirement. When the personal financial management course is completed, the debtor or approved course provider must file the Certificate issued by the course provider.  If a joint petition was filed, both debtors must attend the course and both debtors must file separate Certificates.  The Certificate must be filed no later than the date the last payment is made by the debtor under their Chapter 13 plan.  If the Certificate is not filed, the court may close the case without a discharge.  If the debtor then files a motion to reopen the case to allow the filing of a Certificate, the full filing fee due for filing such a motion is required.

There are limited exceptions to the personal financial management course requirement such as incapacity or disability (defined in 11 U.S.C. §109(h)) or active military duty in a military combat zone.  To be considered for one of the exceptions, a motion for exemption from financial management course must be filed, which will be heard by the court on an appropriate hearing date.

Click here for a list of approved Debtor Education Providers.

E:FILING GUIDANCE: To e:file Certificates use the Financial Management Course Certificate event located in Misc. Events category.  Click here for docketing instructions. To request an exemption, a motion must be filed and scheduled for an appropriate hearing date, using the Exemption from Financial Management Course and/or Certification in Support of Discharge event located in the Motions/Applications category.  Click here for docketing instructions.