How can I cover my ongoing costs during the insolvency proceedings?
April 18, 2022 | 30,00 EUR | answered by Erwin Hausdorf
Dear Bankruptcy Lawyer,
My name is Quentin Herrmann and I am currently facing a financial challenge that is weighing heavily on me. After filing for bankruptcy, I am wondering how I can cover my ongoing expenses during the bankruptcy proceedings.
The situation is as follows: Due to financial difficulties, I have decided to file for bankruptcy in order to settle my debts and make a fresh start. However, I am very concerned about how I can cover my ongoing expenses such as rent, electricity, insurance, and food during this time.
Currently, my income is not sufficient to cover all of my ongoing expenses. I am already cutting back on expenses, but it is still not enough. I have tried to minimize my expenses, but there is still a gap to fill.
My biggest worry is that I will not be able to meet my obligations during the bankruptcy proceedings and will fall deeper into debt. I fear that my bankruptcy proceedings may be jeopardized and not successfully completed.
Therefore, my question to you as an expert in bankruptcy law is: What options are available to cover my ongoing expenses during the bankruptcy proceedings? Are there any specific support services or assistance programs that I can access? I am grateful for any advice and help to get through this difficult time and successfully complete my bankruptcy proceedings.
Thank you in advance for your support.
Sincerely,
Quentin Herrmann
Dear Mr. Herrmann,
Thank you for your inquiry and your trust in my expertise in insolvency law. It is understandable that you are in a financially burdensome situation and are concerned about how to cover your ongoing expenses during the insolvency process. I will now outline various options to help you during this difficult phase.
First and foremost, it is important for you to know that during the insolvency process, certain expenses are considered necessary and must continue to be covered. These typically include rent, electricity, insurance, and food expenses. These expenses are considered essential and should not be neglected.
One option to cover your ongoing expenses could be to apply for legal aid at the insolvency court. This is financial support that can help you cover the costs of the insolvency process as well as your ongoing expenses. Legal aid will only be granted if you can prove that you do not have sufficient financial means to cover the costs yourself.
Furthermore, it may be advisable for you to seek assistance from a debt counseling center. There, you can receive professional help and advice to improve your financial situation and potentially access further support services. Debt counseling centers can also help you optimize your expenses and identify additional savings opportunities.
Additionally, you may consider whether you are eligible for state support benefits such as unemployment benefits (Hartz IV). These benefits can help you cover your ongoing expenses as long as you are in a financial emergency.
It is important that you take action early and seek professional help to improve your financial situation and successfully complete your insolvency process. Do not hesitate to seek support and advice.
I hope that this information is helpful to you and can support you in your situation. If you have any further questions or need additional advice, I am more than happy to assist you.
Sincerely,
Erwin Hausdorf, Attorney at Law
