It may not be an easy decision to come to; however, bankruptcies are often necessary. Arming yourself with valuable insights helps when filing a claim. Keep reading for information that can help you get through this trying time.
A key tip for those filing a personal bankruptcy petition is to always be completely honest in all documentation. Don’t hide income or assets from your lawyer or the bankruptcy trustee or you may find yourself in legal trouble.
Don’t be afraid to remind your lawyer about important aspects of your case. Don’t assume that he will remember something you told him weeks ago. This is your bankruptcy case, so do not be afraid to remind your lawyer of any key facts.
Before you file for bankruptcy, find out which of your assets will be exempt from seizure. Check the bankruptcy laws in your state to find out if certain items are excluded from your bankruptcy filing. Many belongings may become eligible for repossession or seizure after filing for bankruptcy. Failure to do this could cause some ugly surprises down the road when you discover that your valuables must be seized.
You are going to get found out and get in trouble if you don’t disclose all your assets, so be totally honest from the beginning. Whomever you use to file with must know everything there is to know about your finances, both good and bad. Bankruptcy can be a chance to simplify your finances, but any schemes you employ to conceal the truth can ruin that chance for you.
Do not give up. If you’ve had collateral, such as a car, electronics, or jewelry repossessed for non-payment, you might be able to recover the property when you file for bankruptcy. If your personal property was repossessed within 90 days before your bankruptcy filing, you may have a chance of getting it back. Interview and research attorneys before choosing one to help you with your bankruptcy.
Most bankruptcy lawyers give free consultation, so try to meet with these types of lawyers before deciding on hiring one. It is important to meet with the actual attorney, not the attorney’s assistant or paralegal; those people are not permitted to give legal advice Look for a lawyer who you can relate to.
It is important to protect your home when filing bankruptcy. Filing for bankruptcy does not always mean you will end up losing your home. There are mitigating factors, such as lose of value, or multiple mortgages. Another option is the homestead exemption that has certain income and financial requirements, but may also allow you to keep your home.
If your paycheck is larger than your debts, avoid filing for bankruptcy. Although bankruptcy might seem to be an easy way of being able to pay for your debts, you must remember that it is something that will remain roughly about 7 to 10 years in your credit report.
If you have fears that you will lose your car, ask your lawyer about the possibility of lowering your car payments. Often, you can negotiate a lower payment through bankruptcy. There are qualifications, such as the loan being high interest and a good work record for this option.
Facing bankruptcy is a negative situation that can bring on stress. To relieve yourself of some stress and keep thing organized, hire a good lawyer. Don’t let cost be the sole factor in who you hire. You don’t have to use the most expensive attorney; you just need a good quality attorney. Do not choose an attorney until you have interviewed them, checked with the better business bureau and checked their standing with the bar association. You can attend court hearings if you want to see a prospective attorney in action.
Make sure you are completely aware of bankruptcy laws before you consider filing. For instance, somebody cannot transfer assets from a filer’s name up to a year after they file. It is also illegal for someone who files for bankruptcy to drastically increase their debts on credit cards immediately before filing.
Don’t drag your feet figuring out if bankruptcy is the right thing to do. As with anything in life, putting off important things such as debt repayment can snowball quickly out of control. A qualified bankruptcy lawyer can give you advice about filing for bankruptcy and help you weigh other options.
Credit Reporting
A few months after bankruptcy is complete, get your credit report copies from the 3 credit reporting agencies. Check to make sure your credit report accurately reflects your recently discharged debts. If you find any errors, contact the credit reporting agency to get them fixed immediately for the sake of your credit rating.
Be sure that you include all debts you want discharged in your bankruptcy filing. Any debts omitted from the paperwork will not be covered in the discharge. It is up to you to ensure your debts are written down so you don’t need to pay bills that might have been discharged.
Don’t lie when you file for bankruptcy, even if you situation is pretty dire. Lying or hiding information about your finances is a very bad mistake. It is very illegal. If you lie when it comes to your assets and debts, you might end up going to prison.
No one is happy to be bankrupt; sometimes it is the only option. Having read the thoughts presented here, you can rest assured that you have received information from someone who has faced the very difficulties you face today. Learning from others who’ve had this experience will help you learn from it as well.
This is a limited-time offer. We are not able to guarantee availability if you wait!
