Bankruptcy: What Are My Options And Limitations?

by Terrence K. Magee on February 28, 2014

Filing personal bankruptcy can be a simple process. There are different kinds of bankruptcy you can file, and you may qualify for one or more. The advice in this article should give you some direction as you go through the process of deciding to file and filing for you.

Be certain to gain a thorough understanding of personal bankruptcy by researching reputable sites that offer good information. Department of Justice and American Bankruptcy Attorneys provide excellent information.

Always be honest with the information you give about your bankruptcy petition.

Don’t fear reminding your lawyer specific details with your case. Don’t just assume that he will remember it automatically. This is your bankruptcy case, so don’t be scared to mention it.

The Bankruptcy Code lists assets that are excluded from bankruptcy. If you fail to do so, you may be unpleasantly surprised sometime down the road if any of your most valued items are seized.

Personal Bankruptcy

Be sure to enlist the help of a lawyer if you’re going to be filing for personal bankruptcy. You might not understand all of your case. A personal bankruptcy can guide you along through the correct procedures in your filing.

Be certain that you know how Chapter 7 and Chapter 13 differ. Chapter 7 eliminates all of your debt. Any ties you have with creditors will be dissolved. Chapter 13 bankruptcy though will make you work out a payment plan to eliminate all your debts.

Before you decide to file for Chapter 7 bankruptcy, think about what effect that is going to have on any co-signers you have, which are usually close relatives and friends. However, if you had a co-debtor, which spell financial disaster for them.

Debt Collectors

Know the rights when filing for bankruptcy. Some bill collectors will tell you your debts can’t be bankrupted. There are very few debts, such as child support or student loan debt, but be sure to know the details when dealing with debt collectors. If any debt collectors tell you that their debts can’t be bankrupted, make a record of your conversation and report the individual to the proper state authorities.

It is possible for those going through the bankruptcy process to feel unworthy, remorse and embarrassment.These feelings do not help you to make rash decisions and provide no value.

Make sure that you disclose every bit of financial information on your debts before filing. If you don’t do this, your petition could be delayed or dismissed. This includes income from second or part time jobs, vehicles you own and loans you have not paid off.

As you can see, you should give bankruptcy a lot of thought before deciding whether or not you should file. With your finances in turmoil, seek a reputable attorney who has bankruptcy experience. This will allow you to see this as a true, fresh experience.

Many people are interested in What Is Bankruptcy, but are unsure of how to learn more. This article can help jump start your learning experience. You do, however, need to apply what you’ve learned to realize any benefit from this article.

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