Are You Planning To Declare Bankruptcy? Here's What You Need To Do Immediately
If you're looking to declare bankruptcy, there are specific essential steps you need to take now to improve your likelihood of success. Therefore, you need to consult an attorney to understand what issues you must address before filing. The legal practitioner will go over your case before recommending that you take the following measures:
Enlist the Services of an Attorney
Start by engaging the services of a legal advisor as soon as you decide to declare bankruptcy. They will lay out what you should expect during the filing procedure and your obligations throughout the process. Moreover, your legal advisor will give you the information you need to make informed decisions. This includes the errors you should avoid before and during filing.
Significantly, their advice will help you avoid taking actions that might make you fail to qualify. Your lawyer will also tell you which documents the trustee requires, enabling you to gather them by the time of the filing. Besides this, the attorney will help you fill out the documentation to prevent errors that might lead to a denial or make you get into trouble with the court.
Stop Using Your Credit Card
Many people who use their credit cards before filing do not qualify for bankruptcy. This is because the court concludes that they have no intention of repaying the debts. Accordingly, your attorney will ask you to stop using your credit card immediately after you decide to declare bankruptcy. In addition, they will advise you to streamline your finances to avoid accumulating more debt while you're struggling to pay off your credit cards. This will help ensure that you don't fail to qualify for bankruptcy for not acting in good faith.
Do Not Transfer Property to Friends or Relatives
When filing for bankruptcy, transferring personal property to relatives or friends is unlawful. Therefore, you should not try to hide your vehicle or other assets by transferring them to people close to you. You might complicate your bankruptcy case and even lose your right to discharge debts if you do. The effective way to ensure that you can keep your assets even after filing is by working with an attorney. They will ascertain what legal strategies to use so that you don't lose your possessions even after filing.
Book an appointment with a bankruptcy attorney to discuss your case if you've decided to declare bankruptcy. They will advise you on the measures to take immediately so as to prevent hitches that may lead to a denial of your application. Your attorney will also guide you throughout the process to help ensure that your application is successful.