If you are overwhelmed by debt, it can be a very frightening experience. It seems as if one little debt somehow ballooned into catastrophic debt. Unfortunately, once you’re in this situation, fixing it can be hard. The piece that follows does offer some guidance about how to handle bankruptcy when your burden becomes to much to bear.
Never shirk on the truth in your petition for bankruptcy. As long as you are not hiding income or assets from the courts, you can ensure that there are no difficulties with your petition. This will save you from having your petition dismissed and your debts dropped from re-filing.
Look for a bankruptcy lawyer that comes from a personal recommendation instead of someone random on the Internet or in the yellow pages. Companies are constantly popping up, claiming to help, yet only seek to profit from your misery. In ensuring that your bankruptcy is as simple as possible, trusting your attorney makes a big difference.
You must be entirely candid when it comes to declaring assets and obligations in your bankruptcy petition. Penalties may include fines, imprisonment or denial of the filing. Do not hold back anything, and form a sound plan to make peace with your reality.
Stay up to date with any new bankruptcy filing laws. Bankruptcy laws are always changing, and you need to be aware of any changes so your bankruptcy can be properly filed. To learn how the law has changed recently, go online and check your state’s website, or call the state government and ask them.
Do what you can to keep your home. Just because you’re going bankrupt doesn’t mean that you also have to be homeless! It is entirely possible that you will be able to keep your home. This is dependent upon the your home’s value and whether or not you have taken a second mortgage. You are still going to want to check into homestead exemption either way just in case.
Chapter 13
Consider Chapter 13 bankruptcy. You are probably eligible for Chapter 13 if your income is consistent and your unsecured debt is under $250,000. This allows you to keep possession of your real estate and property and repay your debt through a debt plan. The plan is usually for a term of three to five years, and a discharge will be granted at the end of that term. Keep in mind that even missing one payment can be enough for your whole case to get dismissed.
If you are making more money than you owe, bankruptcy should not even be an option. Bankruptcy may seem to be the easy way out, but your credit report will show the scar for the next ten years.
Before filing for bankruptcy, establish the fact firmly in your mind that you have nothing to be ashamed of. The bankruptcy process makes people feel guilty and ashamed. Feeling like this will not help your situation and can actually do serious damage to your mental well-being. Focusing on the positive during this stressful time is a good strategy for coping with your ordeal.
When you are going through bankruptcy proceedings, it is sure to cause a great deal of stress. To relieve yourself of some stress and keep thing organized, hire a good lawyer. When choosing an attorney, cost isn’t the only thing to look at. You don’t have to use the most expensive attorney; you just need a good quality attorney. Get referrals from people you know who have been in your situation, check with the better business bureau and use free consultations to interview several people. When looking at bankruptcy attorneys, consider sitting in on one of their court hearings to find out how they handle the case.
It can easy to be overwhelmed by life and feel as if you have lost control. Hopefully, this article’s advice has shown you that there are still plenty of steps you can take to improve your situation even when bankruptcy is in the picture. What you read were a collection of tips from the experts. Use the advice wisely to fix your finances once and for all.
This is a limited-time offer. We are not able to guarantee availability if you wait!
