15 Sample Petitions for Insolvency

Is your mountain of debt crushing you under its immense weight?

Do mounting bills and creditor demands fill your every waking hour with dread and anxiety?

Sample Petitions for Insolvency

If so, you are not alone. Millions struggle with unmanageable financial obligations that seem impossible to overcome.

But there is hope. Filing an insolvency petition can provide the fresh start and relief you so desperately need.

In this article, we will explore 15 real-life sample petitions that illustrate how the legal process of insolvency can be your lifeline out of the tempest of debt.

Petition One

To the Honorable Court:

I, John Q. Doe, hereby petition for personal insolvency due to circumstances beyond my control. Over the past three years, I have accumulated $167,544 in unsecured credit card debt across seven accounts. Despite my best efforts to keep up with the required minimum payments while working two jobs, recent major medical expenses for emergency heart surgery of $243,000 have made it impossible for me to meet my obligations to creditors.

My average monthly income for the previous six months was $3,450 and my necessary living expenses (rent, food, utilities, insurance, transportation) total $3,000. I have no savings, retirement accounts, or other assets of value. Even before the medical crisis, I was barely making ends meet. Now my situation is untenable. Constant collection calls and legal threats from creditors have taken an enormous toll on my mental and physical health.

Therefore, I request that the court grant a discharge of my debts under the applicable insolvency laws so that I may obtain a financial fresh start. I am prepared to liquidate what little property I have and participate in all other requirements. Thank you for your consideration.

Sincerely,

John Q. Doe

Petition Two

Dear Insolvency Administrator:

My name is Sarah Thompson and I am writing to petition for personal insolvency and request a discharge of my unsustainable debts. I am a single mother of two children, ages 4 and 7. For the past five years, I have worked full-time as a teacher’s aide earning $29,000 annually.

Three years ago, my husband abandoned our family, disappeared, and has provided no child support since. I was suddenly left solely responsible for $34,000 in credit card debt, $12,500 in medical debt from my younger daughter’s birth, $27,000 remaining on our car loan, and $4,000 in personal loans from family. Despite my best efforts juggling bills, expenses for the girls, and the necessities of life, I have fallen hopelessly behind.

My wages are being garnished, the car has been repossessed, and creditors threaten to sue me. My family is on the brink of homelessness and complete financial ruin. I realize now that I cannot pay these debts. Filing for insolvency is my last hope.

I implore the court to grant relief through a full discharge of these debts under the insolvency statutes. I am prepared to fully cooperate with all requirements and am not attempting to defraud creditors. Thank you for considering my dire situation and petition.

Respectfully submitted,

Sarah Thompson

Petition Three

To Whom It May Concern:

I, Robert Johnson, submit this petition for personal insolvency as I am drowning in debt with no hope of repaying my creditors. I am 64 years old, in poor health, and was forced to retire early from my job as a warehouse worker due to chronic back issues and arthritis. My only income is $1,280 per month in Social Security benefits.

Over the years, I amassed $42,500 in credit card debt and $8,000 in medical bills. I have exhausted my meager savings and have no assets other than $1,500 in my checking account and a 15-year-old car worth approximately $2,000. After rent, food, utilities, and medicine, I have no money left to pay my debts.

My debts are a constant source of stress and anxiety in my senior years. Accordingly, I hereby request that the court grant a full discharge and allow me some peace of mind in my retirement. I am prepared to relinquish my eligible assets and fulfill all other obligations as an insolvent petitioner.

Thank you for your attention to this matter.

Sincerely,

Robert Johnson

Petition Four

Dear Sir or Madam,

This letter constitutes my formal petition for insolvency due to my inability to satisfy my financial obligations to creditors. My name is Jennifer Williams and I am a 32-year-old freelance graphic designer. For the past two years, all of my contracts and gig work completely dried up due to the pandemic recession.

As a result, I fell behind on my $850 monthly rent and was evicted from my apartment six months ago. I have been staying with friends and family since, while urgently searching for work. Meanwhile, the bills continue to mount with no way to pay them.

I currently owe $26,000 in student loans, $14,500 in credit card balances, and $2,200 in unpaid utility bills. I have sold what little I own and have only $400 left in my bank account. My car was repossessed and I have no other assets. Despite my diligent job search, I have been unable to secure steady employment and have no prospects of being able to satisfy my debts in the foreseeable future.

Therefore, I humbly petition this court for a full discharge of these insurmountable debts under the insolvency laws so that I may start anew and rebuild my life. I am not attempting to defraud any creditor and will fully cooperate with all requirements of the insolvency process.

Respectfully yours,

Jennifer Williams

Petition Five

To the Court:

My name is David Lee and I hereby petition for insolvency as I am unable to meet my debt obligations. I am 51 years old and have worked as a restaurant manager for the past 23 years. Eighteen months ago, the owner abruptly shut down the restaurant and disappeared amid fraud allegations, leaving all of us employees jobless with no notice.

Since then, despite my best efforts, I have been unable to find a new management position. The only work I have been able to secure is part-time minimum-wage jobs. As a result, I have fallen behind on all my bills and have no way to catch up.

I am single with no dependents and currently owe $18,000 in credit card debt, $27,000 in student loans, $3,400 in medical bills, and $6,800 to my former landlord. My wages are being garnished, my credit is ruined, and I am still unemployed. I have no savings, no assets, and my 12-year-old car is barely running.

I cannot continue living under the weight of these debts and the constant stress of creditors and unpaid bills. I urgently need the relief only this court can provide under insolvency law. Please grant a discharge of my debts so that I can move forward. I am prepared to comply with all requirements and procedures.

Sincerely,

David Lee

Petition Six

To the Presiding Insolvency Judge:

I, Samantha Jones, submit this petition for personal insolvency and a full discharge of my outstanding debts under the governing statutes. I am a 46-year-old nurse and mother of three teenagers. My husband died suddenly two years ago in a tragic car accident, without life insurance. Since then, my financial life has crumbled as I grapple with grief and the loss of my partner’s income.

I have continued to work full-time but my salary alone cannot meet our expenses and pay the debts. We have been living paycheck-to-paycheck but the bills keep mounting with no end in sight. My mortgage is now three months delinquent, the utilities are on the verge of being cut off, and creditors constantly call to demand payment on credit cards and loans I cannot afford.

At present, I owe $212,000 on the mortgage, $34,000 in credit card balances, $8,500 in medical bills from my husband’s hospitalization, $17,000 in car loans, and $4,400 in unpaid utilities. We have no savings left, and our only assets are $2,200 in checking and my husband’s 10-year-old truck worth approximately $3,500.

I realize now there is no way I can repay these debts on my single income while still supporting my grieving children. I desperately need the fresh start only insolvency can offer. I will fully cooperate with all court requirements and procedures. Please grant my petition for the sake of my family.

Respectfully,

Samantha Jones

Petition Seven

Dear Court:

My name is Matthew Miller and I am writing to petition this insolvency court for debt relief under the relevant statutory provisions. I am 39 years old and formerly operated a small business. Five years ago, I opened an independent bookstore, using $60,000 in loans from family and friends, $40,000 in bank financing, and my $15,000 in savings.

The first two years showed promise, but sales greatly declined with the rise of online retailers. I poured all my efforts into promotions, community events, and cost-cutting, but could not turn it around. The COVID-19 pandemic dealt with the death blow. After months of holding on, I was forced to permanently close the doors eight months ago and lay off my three employees.

Despite my best efforts, the business debts exceed the remaining assets, which are now being liquidated. I am left personally responsible for $83,000 in outstanding obligations but have no money to pay. I have diligently searched for work but remain unemployed, forcing me to rely on meager public assistance and charity to survive.

I currently have no source of income, $400 in my checking account, no savings, and a vehicle worth $3,500, and am staying with a sympathetic friend. My financial situation is dire. The stress and shame of business failure is crushing. I implore this court to grant me a discharge through the insolvency process so that I may begin to rebuild my life.

Yours truly,

Matthew Miller

Petition Eight

To the Honorable Insolvency Court Judge:

I, Cynthia Davis, hereby petition this court for personal insolvency relief as I cannot pay my mounting debts. I am a 33-year-old single woman who has been unable to work for two years due to a severe, debilitating illness. My savings were quickly depleted and I was forced to rely on credit cards and personal loans from my family to pay for basic living expenses.

Although I am now in recovery, I have been unable to find a job and my medical crisis left me buried in debt I cannot hope to repay. I have no income, only $250 remaining in the bank, no car, and no other assets of note. I currently owe $22,000 in credit card debt, $13,000 in personal loans, and $7,500 in outstanding medical bills.

The constant barrage of collection calls and impending legal action are unbearable. I realize that I need a lifeline out of this overwhelming hole. I am petitioning this court for insolvency protection and a discharge of my debts so that I can achieve a desperately needed fresh financial start. I did not intend to defraud any creditor and will cooperate fully with all insolvency procedures and requirements.

Thank you for your consideration.

Sincerely,

Cynthia Davis

Petition Nine

To the Clerk of the Insolvency Court:

My name is James Wilson and I submit this petition for personal insolvency as I am drowning in debt after the COVID-19 economic crisis. I am 42 years old and worked as a successful real estate agent for 12 years until the pandemic lockdowns caused the housing market to plummet. My income drastically declined to the point where I fell behind on all my bills.

As a divorced father of two children, ages 12 and 9, my priority was maintaining my support payments. But as a result, I could not keep up with my rent, car loan, utilities, and other living expenses. I took on credit card debt to survive but quickly hit the limits. The late payment penalties and interest spiraled out of control.

I am now $32,000 behind on support payments, owe $43,000 in credit card debt, $3,800 in unpaid rent, $17,000 on my car loan, and assorted other debts. My bank account is empty, with no other assets besides my vehicle, which is securing the car loan. My real estate license is now inactive since I cannot afford the fees. I have been searching for work for months to no avail.

I cannot continue to live with the shame and stress of unpaid bills and constant creditor harassment. I greatly need this Court to allow me a discharge through the insolvency procedures so that I can pick up the pieces of my financial life and once again support my children. I am committed to fulfilling all insolvency obligations.

Respectfully submitted,

James Wilson

Petition Ten

To the Honorable Insolvency Trustee:

I, Emma Taylor, hereby submit this petition for personal debt relief through the formal insolvency process, as I am unable to meet my financial obligations. I am 29 years old, a single mother, and worked as a hairstylist until two years ago. The salon closed without warning and I was suddenly unemployed.

Despite my best efforts, I was unable to find another position and my unemployment benefits were exhausted. I took a minimum wage retail job to make ends meet for my daughter and me. Our financial situation continued to deteriorate to the point of crisis. I currently owe $13,500 in credit card debt, $4,400 in unpaid utilities, and $1,800 in medical bills. My car has been repossessed and we have been evicted from our apartment.

My checking account has $160, I have no savings, no other source of income, and am living with a family member who has taken us in temporarily. I simply cannot pay these debts despite my most diligent efforts. I need the relief and fresh start that only an insolvency discharge can provide. I am prepared to comply with all legal requirements and procedures.

Please grant my petition so that my daughter and I can move forward from this extremely difficult time.

Sincerely,

Emma Taylor

Petition Eleven

Dear Insolvency Court Administrator:

My name is Michael Anderson and I am writing to formally petition for personal insolvency and humbly request a full discharge of debts from this honorable court. I am 54 years old and worked in automotive manufacturing my entire career until being laid off 18 months ago when the plant permanently closed.

Despite applying to every open position, taking online retraining courses, and networking constantly, I have been unable to secure a new job. The gap in my work history, my age, and the economic downturn have proved to be insurmountable obstacles. Meanwhile, the bills continue to mount beyond my control.

My unemployment benefits have long been exhausted and my savings depleted. I am now $24,000 behind on my mortgage, owe $19,500 in credit card debt, have $8,000 remaining on my car loan, and cannot afford groceries and gas. I have no retirement accounts or assets of value. My financial situation is beyond dire.

The constant dread, anxiety, and shame of debt are unbearable. I desperately need the “fresh start” of insolvency to begin to rebuild my life. I am not attempting to defraud any creditor and will comply with all legal obligations and procedures.

I implore this court to approve my petition for a full insolvency discharge.

Respectfully submitted,

Michael Anderson

Petition Twelve

To the Presiding Insolvency Court Judge,

I, Lisa Davis, hereby petition this honorable court for insolvency relief as I am unable to repay my creditors and the constant debt is ruining my life. I am 62 years old and have worked minimum-wage service jobs my entire life. I raised two children on my own and always struggled to make ends meet.

Three years ago, my adult daughter became gravely ill and I took on extensive debt to help pay for her medical treatments in a desperate attempt to save her life. Despite our best efforts, she tragically died, leaving me grief-stricken and saddled with overwhelming bills I cannot hope to repay on my meager salary and approaching retirement.

I currently owe $36,000 in credit card debt, $22,000 in medical bills, $3,200 in payday loans, and $4,800 in utility back payments. I have no savings, no assets of note, and only my small checking account. My wages are being garnished and I cannot afford necessities. The stress is unbearable.

I realize now that insolvency is my only hope to deal with this crushing debt. I humbly request this court grant me a full discharge under the relevant statutes. I am prepared to fully cooperate with all insolvency requirements and procedures.

Please help me attain a measure of peace in my remaining years.

Respectfully,

Lisa Davis

Petition Thirteen

To the Court,

My name is Joshua Hernandez and I am submitting this petition for personal insolvency because I cannot repay my debts despite my most diligent efforts. I am 37 years old and worked as a restaurant server for the past 12 years until the COVID-19 pandemic forced my employer to permanently close. I have been unable to find a new position and my unemployment benefits were exhausted months ago.

I am drowning in debt with no way out. I currently owe $17,000 in credit card balances, $9,500 in unpaid rent, $4,800 in outstanding medical bills, and $3,200 in personal loans from friends. My bank account is empty, I have no savings, no assets, and continue to be unemployed despite my best efforts.

The constant stress and hopelessness of this mounting debt is crushing. I cannot continue to live this way. I urgently need the relief that only an insolvency discharge can provide. I am not attempting to defraud any creditor and am willing to comply with all court procedures and legal obligations.

Please approve my petition for insolvency and grant me a full discharge so that I can begin to rebuild my financial life.

Sincerely,

Joshua Hernandez

Petition Fourteen

Dear Insolvency Trustee,

I, Ashley Thompson, hereby petition for insolvency relief as I have no means to pay my overwhelming debts. I am a 52-year-old single woman who worked as an office manager for 22 years until being unexpectedly laid off during corporate downsizing 3 years ago.

Since then, I have only been able to find part-time, minimum-wage work which barely covers my rent and utilities. I fell behind on my bills and started relying heavily on credit cards for gas, food, and other necessities. The debt quickly snowballed out of control.

I currently owe $27,000 in credit card balances, $11,500 for my car loan, $3,700 in medical expenses, and multiple other debts to my family. I have only $250 in checking, no savings, and my only asset is my 9-year-old vehicle. My wages are being garnished, my credit is destroyed, and creditors are threatening to sue.

The anxiety, dread, and shame of defaulting on my obligations are unbearable. I am drowning with no hope of paying these insurmountable debts. I desperately need an insolvency discharge to start over. I did not intend to defraud creditors and will cooperate with all court instructions.

I implore you to please grant my petition for insolvency relief and a complete discharge of these debts.

Respectfully,

Ashley Thompson

Petition Fifteen

To the Honorable Court,

My name is Brandon Davis and I am petitioning for personal insolvency as I cannot satisfy my financial obligations despite my best efforts. I am 44 years old and worked in the oil and gas industry for 19 years, steadily advancing until attaining a management role.

Two years ago, our company declared bankruptcy amid plummeting energy prices and global oversupply. I suddenly found myself laid off along with 80% of the workforce. I diligently searched for a new position but the entire industry continues to struggle with few prospects for employment.

The loss of my salary was devastating and I quickly fell behind on my bills. I currently owe $192,000 on my mortgage, $31,000 in credit card debt, $17,000 on a consolidation loan, $6,400 in unpaid utilities, and other various debts to my family. My checking account has $720, I have no other savings, and my assets are limited to my underwater house and a vehicle worth $4,500.

After depleting my savings and retirement funds, I simply cannot continue to pay my debts. I am not attempting to defraud any creditor but urgently need intervention. The constant stress is destroying my physical and mental health.

I am prepared to liquidate assets and fulfill all insolvency obligations. I implore this court to please approve my petition for a discharge and allow me to begin rebuilding my life.

Sincerely,

Brandon Davis

Conclusion

These 15 sample petitions illustrate the range of financial hardships that compel people to seek legal intervention and a fresh start through insolvency proceedings.

Job loss, medical crises, economic downturns, and other uncontrollable life events can rapidly sink even the most financially responsible individuals into a morass of debt.

If you are experiencing similar monetary distress, petitioning for insolvency may provide the relief and new beginning you desperately need.

To start the process, consult with a licensed insolvency trustee or attorney about your situation.

With their help, you can determine if insolvency is right for you and begin the legal process to attain lasting financial freedom. A brighter future awaits on the other side.