When filing for bankruptcy, it’s only natural that you would enlist the help of bankruptcy lawyers to guide you through the process. However, your actions can have a direct impact on bankruptcy proceedings. Following a few simple rules will help the process go smoother as you navigate this tough financial time. If you are having financial problems the sooner you talk to a qualified attorney the better as many things you do in the weeks leading up to filing bankruptcy will affect how things go after you have filed.
Provide bankruptcy lawyers with all relevant documents.
It’s always smart to save tax returns and other financial documents, but this paperwork is especially vital during bankruptcy proceedings. Providing billing statements, collection letters, and other useful paperwork will help your lawyer complete their work quickly and effectively so you can discharge all debt. Be sure to provide details for all assets and debts.
Keep up with payments for items you want to keep.
Though you should generally stop automatic payments on most loans during bankruptcy proceedings, you should keep up with payments for assets you wish to keep — such as a house or car. If you fall behind on these payments as well, the property may be repossessed as part of the bankruptcy proceedings.
Use credit cards.
Credit cards often contribute to financial problems, and they can further complicate bankruptcy proceedings. Using a credit card after filing for bankruptcy may delay filing procedures and result in more debt that you need to pay back.
Transfer assets or give away belongings.
Business owners sometimes try to sell or give away assets to others to “protect” their property from creditors. This doesn’t just make work harder for bankruptcy lawyers — you could also be cited for attempting to defraud the court, which can lead to serious legal charges. If there transfers you want to make or need to make talk to your attorney before doing so.
The process of Bankruptcy is designed to give people a fresh start after events beyond their control have upset their financial world. If done properly most of the time it will allow you to keep your automobiles, home, and a majority if not all other assets while liquidating most unsecured debt. This will enable you to start over with a manageable debt load and the knowledge of how to manage you money going forward.
Whether you’re looking for bankruptcy lawyers or a family law attorney, you’ll find the help you need at Watson Law Firm of Harrison. Serving Boone County, AR, their team uses over 35 years of combined experience and offers one-on-one consultations to give your case the attention it deserves. To learn more about their lawyers, visit them online or call (870) 704-4037.