Bankruptcy Woes? Simplify The Process With This Useful Information
Posted at by PConran on category BankruptcyWhen someone has to file for bankruptcy, it is never a good thing. Personal bankruptcy is a stressful and potentially embarrassing time for many people. If you decide to file bankruptcy, research the laws in your state and retain the services of a qualified attorney.
Always remind your lawyer of specifics that are important to your case. Do not assume that if you’ve already told him or her something important once, that they will remember it later without a reminder. Speak up, because it is your future on the line.
Prior to putting in the bankruptcy paperwork, determine what assets are protected from seizure. You can find a listing of the asset types that are excluded from bankruptcy in the Bankruptcy Code. You need to read the exemptions for your state, so you know what property you can protect. If you don’t heed that advice, you might find yourself getting surprised when your favorite things are repossessed.
Since it is possible to obtain a free consultation from the majority of bankruptcy lawyers, meet with a few of them prior to choosing one. Ensure that you have a meeting with a real lawyer instead of an assistant, since they can provide the best advice. By meeting with several attorneys through a free consultation you will be able to choose which attorney you feel more comfortable with.
Your most important concern is to protect your home. Filing for bankruptcy will not always result in losing your home. You can still keep your home, it just depends on your specific situation and the value of your home. There are also homestead exemptions which, depending on your other finances, may allow to remain in your home.
Put forth the effort to grasp the distinctions between Chapter 7 and Chapter 13 bankruptcies. Go to a reputable website and research the benefits and detriments of each type of bankruptcy. If you’re really not sure how this all works after your research, meet with your lawyer and ask them prior to making a decision.
Once your bankruptcy filing is under way, take the time to decompress a little. It’s not uncommon to be overwhelmed by the filing process. This stress could morph into clinical depression, if you fail to adequately address the problem. Life will get better after you finally get this situation over with.
Before you decide to file for Chapter 7 bankruptcy, you should consider what your bankruptcy might have on others, as your family and friends may be affected. You can relieve yourself of any liability for debts that you may share with someone else through a Chapter 7 filing. However, if you had a co-debtor, they will be required to pay the debt.
Don’t file for bankruptcy without knowing your rights. Bill collectors can try to scare you into believing that your debt will not be cleared. There are not many debts that can not be bankrupted, student loans and child support for example. If a collector uses this tactic about debt that can, in fact, be discharged through bankruptcy, report the collection agency to the attorney general’s office in your state.
Clearly, filing for personal bankruptcy is not your only option. Use the tips you just read to make the best decision possible. You can turn your life around and protect your financial position if you make use of wise bankruptcy advice like the suggestions presented above.