Learn how Chapter 7 bankruptcy and Chapter 13 bankruptcy differ from each other. Spend time researching the advantages and disadvantages of filing for each one of these. If you don’t understand the information you researched, consult with your attorney about the details before you decide which type of bankruptcy you want to file.
We would like to reiterate that you always have the option of filing for personal bankruptcy. Given that fact, it should be your last resort due to the consequences involved. Knowing the ins and outs of the bankruptcy process will save you from stress that will arise if you miss something down the line. It is easy for people to dismiss bankruptcy as an option for failures, until they are confronted with the need themselves. A change in circumstances, such as divorce or job loss, can make a situation where filing for personal bankruptcy is a necessity. If this has happened to you, the hints in this article may be of use. Even if your situation seems bleak, do not lie about anything when you file for bankruptcy. One of the worst things you can do is lie about your debts and assets. Aside from that, it’s against the law. If you lie in the recording of your debts and assets, you may end up in prison for quite some time.
It is important to list all your assets and liabilities during the bankruptcy proceeding. Failure to do so will only cause you problems in the end. Whomever you use to file with must know everything there is to know about your finances, both good and bad. Don’t hold back information and create a strategy so you can deal with what’s really happening.
Any bankruptcy consultation should be free of charge. Seek free consultations from a handful of lawyers, before deciding which one to hire. Decide which lawyer you like best buy reviewing all of the lawyers’ answers to your questions. Choose the lawyer who addressed your issues the best. You do not have to give them your decision right after the consultation. So you have sufficient time to speak with a number of lawyers.
Be sure you have no other choice but to seek bankruptcy. It might be possible to consolidate some of your debt instead. Bankruptcy is a long process that can be stressful. It will have a major effect on your credit as time goes on. Personal bankruptcy should be undertaken as a last resort when no other workable options are available to you. If you need to file for bankruptcy, do not put it off. If this is the only option that you could take, waiting won’t make it better. Your financial position will grow more and more stressful the longer you drag your feet. This may have a lot of bad effects on the way you live. It is best to file as quickly as possible. Once a few months have passed after your bankruptcy, contact the three major credit reporting agencies and request copies of your report. Check that your reports accurately reflect all your closed accounts and discharged debts. If any discrepancies appear, check on them immediately. This will allow you to start fixing your credit.
