Do You Need Help Filing Bankruptcy? Try These Tips

July 6, 2013

TIP! Make certain that you comprehend everything regarding personal bankruptcy by studying online. The United States DoJ along with other private and nonprofit organizations all have insightful knowledge.

Always take the bankruptcy process seriously. It is crucial you educate yourself on the entire bankruptcy filing process. Read the tips listed here for guidance. Whatever difficult choices you must make, it can be made easier with research.

TIP! Make sure you are always providing honest documentation whenever you have to file for personal bankruptcy. It is vital that you disclose all information about your assets and income so there are no delays or penalties, such as a court barring you from filing again later in the future.

You should avoid paying your taxes with credit cards and then immediately file for bankruptcy. In many parts of the country, you cannot get this debt discharged, and in the end you will be left owing the IRS a big sum of money. If the tax can be discharged, so can the debt. It is pointless to use credit cards if they can be discharged.

TIP! Before picking a bankruptcy lawyer, speak with more than one, since most offer a consultation for free. Never settle for speaking with a paralegal or an assistant.

If filing bankruptcy is in your future, don’t waste any savings you may have attempting to pay off your debts. No matter what you do, do not touch your personal savings unless there is no other option. You may have withdraw from your savings every now and then, but try to leave yourself some financial security for the future.

TIP! Learn what you can about Chapter 13 bankruptcies. You are probably eligible for Chapter 13 if your income is consistent and your unsecured debt is under $250,000.

Never lie about anything in your bankruptcy petition. Not hiding any assets or income is essential for avoiding possible penalties and your ability to re-file at some point in the future.

TIP! While going through this process, spend more time with friends and family. Bankruptcy can take a toll on you.

Determine which assets won’t be seized before filing for bankruptcy. The Bankruptcy Code provides a list of all the different kinds of assets that you can exclude. Prior to filing for bankruptcy, it is critical that you go over this list, so that you know if you can expect any of your most valuable possessions to be seized. You wouldn’t want to unexpectedly lose any possessions you treasure.

TIP! If you are worried about your car being repossessed, consult your attorney about trying to get the monthly payment lowered. Filing under Chapter 7 is usually a good way to lower your payments.

As you’ve seen from this article, there is more than one way to go about filing for personal bankruptcy. Do not let this information overwhelm you! Think about the tips included above. The more level-headed you can remain throughout this process, the better the choice will be that you make.