Statement of Financial Affairs for Individuals Filing for Bankruptcy, Individual Debtors. Each Debtor filing an individual bankruptcy has a right to represent him or herself (Pro Se Debtor); however, the use of an attorney is recommended.This article provides a template for a debt settlement proposal letter and explains what a debt settlement letter should contain. Here you will learn how to report your bankruptcy filing to the Massachusetts Department of Revenue (DOR). You need to state the reason you are submitting this explanation, record the type of bankruptcy you filed for, the timeline of the bankruptcy proceedings. No you don't have to pay off your mortgage if you file for Chapter 7 bankruptcy. The FDIC may be able to assist you in obtaining a lien release if the request is for a customer of a failed bank that was placed into FDIC receivership. A brief guide outlining your rights under fair debt collection laws and what creditors can and cannot do. It is almost never a good idea to mortgage your home to pay off credit card and other un- secured debt. There have been major changes in the mortgage industry as well.