For many Americans, filing for bankruptcy is the best way to regain their financial footing. If you make a critical mistake at any stage of the proceedings, though, declaring bankruptcy may not provide the debt relief you desperately need. Here are some of the most common missteps to avoid before and during the filing process.

Avoid These Top Bankruptcy Mistakes

1. Racking up Additional Debt

Once you decide to pursue bankruptcy, it’s wise to stop using your credit cards. If you spend more than $500 on nonessentials on a single card within 90 days of filing, it will not be dischargeable. Likewise, cash advances of more than $750 across all accounts will not be dischargeable if you make them within 70 days of filing.

2. Prioritizing Lenders

Paying back some creditors but not others could delay the proceedings considerably. The bankruptcy court might be inclined to recover those funds and redistribute them among all your lenders. This applies to friends and loved ones who have lent you money, as well. The bankruptcy trustee can recover any money you pay them within one year of filing.

3. Failing to Disclose Everything

The only way your legal team will be able to help you achieve debt relief is if you tell them everything. It’s natural to feel ashamed or embarrassed about debt, but try to remember that a seasoned attorney will not judge you for your circumstances. In fact, your lawyer has probably counseled clients in much worse situations.

If you need debt relief in North Carolina, turn to C. Roland Krueger Attorney and Counselor at Law. Practicing out of Lexington, this seasoned lawyer has nearly 40 years of experience in the legal field. In addition to helping clients achieve debt relief, he assists with securing Social Security disability benefits, stopping foreclosures, and fighting traffic violations. To schedule an initial consultation with this bankruptcy attorney, complete the form on his website or call (336) 248-8464.