Embarking on a personal bankruptcy filing can be quite complicated. For example, there are several types of bankruptcies. Each type depends on several factors including your income as well as your debts. It’s imperative that you learn everything you can about the process before you even think about filing. This article has information that can help you.
When it comes to informing your attorney about your case, don’t be fearful. Don’t just assume that the attorney will remember it automatically. It is in your best interest to speak out. You are in control of the outcome of your bankruptcy.
Determine which of assets are safe from seizure and which are not before filing for personal bankruptcy. To find an itemized list detailing assets exempt from bankruptcy, find the Bankruptcy Code. Make sure that you review this list before you decide to file, to see if you can hang on to your most important possessions. If you fail to go over this list, you may be unpleasantly surprised sometime down the road if any of your most valued items are seized.
Protect your home. Filing for bankruptcy does not always mean you will end up losing your home. It depends what your home value is and if there is a second mortgage, as all this stuff comes into play when determining if you can keep the home. If you’re not sure, however, you can always study the particular homestead exemption regulations. You will learn everything you need to know.
Familiarize Yourself
There are differences between Chapter 13 bankruptcy and Chapter 7; be sure to familiarize yourself with both. Read up on the topic and familiarize yourself with the benefits and drawbacks of both variations. If the information you read is unclear to you, take the time to go over the specifics with your lawyer before making a decision on which type you will want to file.
Chose the proper moment to make your move. When it comes to filing for bankruptcy, your timing is important. There are situations in which it is in your best interest to file immediately, but other times it is advisable to wait. Discuss your specific situation with a bankruptcy lawyer to find out when would be your best time to file.
There is a great amount of emotional and mental stress associated with filing for bankruptcy. The best way to lessen this stress is to employ a lawyer, who can handle most of it for you. Don’t let cost be the sole factor in who you hire. It is not necessary to engage the lawyer who charges the highest fees; all you need is a lawyer of high quality. Ask for referrals from folks who have filed and check reputations with the BBB. Try to get a referral from a trusted friend or family member.
Don’t take big cash advances off your credit cards in the days prior to filing for bankruptcy. This will be viewed as fraud, and you may be held responsible for the balances despite your bankruptcy filing.
One thing to consider is that filing bankruptcy might be a better alternative to making late payments or missing payments completely. While bankruptcy may appear in your credit report, you could surely try to fix your damaged credit. A fresh start is a great benefit of bankruptcy.
Credit History
Once you decide to file, it is important to act in a more financially responsible manner. Be certain not to incur extra debt or increase the amount of debt you already have. Judges may take into account your current credit history, in addition to your past credit history, when considering your bankruptcy case. Having recent good financial behavior, regardless of how short of a time period, is better than no good behavior at all.
As you can see, filing for bankruptcy is a serious decision that must be considered carefully before you make it. If you decide that it makes sens for your financial situation, you can benefit from working with an attorney who is experienced with personal bankruptcy, so that you can make the experience the beginning of your new, clean financial slate.
This is a limited-time offer. We are not able to guarantee availability if you wait!
