Filing for Bankruptcy Outside of Maryland

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Young man in a field surrounded by trees, clutching a suitcase to his chest

Your Assets, Your Venue

When debts are overwhelming, some people may wish they could just pick up and leave the country—and many do. Others acquire debt after leaving the country. A former client of mine recently called and expressed an interest in doing a Chapter 7 bankruptcy. She had resided in Maryland years ago but now lived in Nigeria. But unfortunately, in this day and age, it’s easy for creditors to pursue debtors all over the globe.

That’s why in 2007, the United States Bankruptcy Court for the District of Maryland ruled that U.S. citizens living abroad are free to file for U.S. Bankruptcy to discharge their debts. You can read the ruling here. As long as you are a U.S. citizen, even if you live abroad, you can file for bankruptcy in any state, including Maryland, in which you hold assets. That’s because your assets allow you to claim venue.

Unfortunately, my client no longer had any assets in the state. So, I advised her to open a checking account in Maryland and keep it active for 180 days prior to her bankruptcy filing. As long as she didn’t have assets in any other state, the 180-day-old checking account would be sufficient to establish Maryland as her bankruptcy venue.

Your best prospects for financial security may very well lie outside of Maryland. If you’ve already begun a bankruptcy claim, and you would like to move out of state, your bankruptcy case will remain active in Maryland. No matter where you live, you must make the trip back to Maryland for the 341 Meeting of Creditors. And for any move, in-state or out, let your attorney and bankruptcy trustee know your new address so they can update all your records with the court.

Call Today for a New Start

If you're ready to take back control of your finances, call 301-589-4597 or email me at ds@dsteinlaw.com to discuss your options. I offer free consultations to those enduring severe financial strain in Maryland and Washington D.C., including areas around Baltimore, Bethesda, Silver Spring, Gaithersburg, Rockville, Wheaton, Upper Marlboro, Bowie, College Park, Laurel, Frederick, Hagerstown, Hyattsville, Salisbury, Towson and Glen Burnie. Let me help you make a new start today.