South Carolina Bankruptcy

Bankruptcy is a legal process that assists individuals or businesses in South Carolina to seek relief from some or all of their debts. This process is generally supervised by a court-appointed trustee. Bankruptcy is a federal process, but South Carolina’s exemption system governs what assets you can keep.

The state has opted out of the federal exemptions, so residents must use the state exemption list. In South Carolina, the property exemption amounts for bankruptcy proceedings are adjusted for inflation in each even-numbered year.

How to File Bankruptcy in South Carolina

This is a valuable, practical sequence for you to learn how to file for bankruptcy in South Carolina. Learn to gather all the documents you need for the case. These may include two years of tax returns, last six months of income, bank statements, complete asset/debt lists, deeds, titles, and lawsuits or garnishments. You must proceed to complete a credit counseling session within 180 days. A 341 meeting of creditors follows each new case.

Choose your chapter and apply the state exemptions. Most consumers prefer to use Chapter 7 or Chapter 13, while businesses or complex cases may use Chapter 11. The exemption will determine which asset is protected from creditors. File the petition and schedules in the court.

Pay the filing fee and any charges associated with the filing of your document. During the 341 meeting, you must present your ID and any requested documents to the trustee.Finally,monitor all court notices through discharge or plan confirmation/completion.

South Carolina Bankruptcy Types: Chapter 7, Chapter 13 & Chapter 11

Each chapter serves a different need, so you must be familiar with the right choice.

Chapter 7 (liquidation)

Here, the trustee sells non-exempt assets on behalf of the debtor to repay the creditors. This chapter type is suitable for residents with low income.

Chapter 13 (repayment)

This chapter lets individuals cure arrears and reorganize their debts in an installment package. The repayment plan must be court-approved and cover the value of non-exempt equity within 3-5 years.

Chapter 11 (reorganization)

This type of bankruptcy is typically used by businesses and high-debt individuals. They may approach the court to seek the chance to reorganize their debts. So they can keep operating while they continue to negotiate a plan.

Step-by-Step Checklist for South Carolina Filers

This checklist will assist you during your bankruptcy case in a federal court.

• Complete the mandatory credit-counseling course
• Gather all required financial and asset records
• Choose a chapter and apply South Carolina exemptions
• File the petition and schedules in the correct division
• Pay the filing fee or request relief
• Attend the 341 meeting of creditors
• Complete a debtor-education course
• Respond to the trustee’s requests
• Comply with court communications until discharge or plan completion

South Carolina Bankruptcy Court Details & Record Access

The state has a single federal bankruptcy district where you must file your bankruptcy cases.

Court Locations

• The District of South Carolina: The U.S. Bankruptcy Court for the District of South Carolina has its headquarters in Columbia. The court has additional divisions in Charleston and Greenville. You may contact the main courthouse and office at:

Record Access

In South Carolina, you may access court records through the Public Access to Court Electronic Records (PACER) system. You must register an account and pay $0.10 to search and view case documents such as petitions and court orders.

The court allows users to easily view limited case details through the Voice Case Information System (VCIS). This automated service allows a caller to obtain information about a bankruptcy case via touch-tone telephone (calling 866 222-8029, free of charge).

To obtain copies or retrieve files from an archived bankruptcy case (cases filed prior to 1997), you may make an electronic request from the National Archives & Records Administration.

Alternatively, you can view the entire case file at the courthouse during office hours on weekdays. If you wish to review a whole archived case file at the Clerk’s Office in Columbia, complete the Archive Retrieval Form and send it by mail to the courthouse in Columbia. You must submit the form along with the required retrieval fee. A copy fee applies when copies are requested at the time of viewing. It takes about 7-10 days to retrieve an archived case.

Finally, you may visit the public terminals in each federal courthouse to view and print court documents.