Saturday, 28 April 2012

Bankruptcy: What To Consider When Filing

By Julie Montagna


The decision to file for bankruptcy is very serious and should not be taken lightly. Read the suggestions below to learn what you should expect, and the steps you will need to take as you think through this decision. Educate yourself as much as possible prior to taking action.

Chapter 7 filings do not necessarily erase all of your debt. You may need to reaffirm certain secured debts. As a result, you must sign another agreement that says you'll repay them. In addition, under certain circumstances, some debts can't be discharged. For instance, in Chapter 7, you cannot discharge student loans, child support or court-sanctioned fines.

Keep with what you have decided to do. Filing for personal bankruptcy may possibly enable you to reclaim your personal property that have been repossessed, like your car, electronics and jewelry items. If the items were repossessed less than three months prior to your filing date, you may be able to recover them. Consult with a lawyer who is able to assist you in the filing of your petition.

It's important that you understand what bankruptcy is and how it will change your life before you attempt to file a claim. Many sites, including the U.S. Run a quick Internet search to find out all the different agencies you should be contacting or visiting via the web to find out what you can. As with everything in life, the more you know about filing a claim, the better off you'll be. You can properly prepare when you know what you're preparing for.

Filing for a different type of bankruptcy is a good idea if you think you will lose your home. Try Chapter 13 instead of Chapter 7. It might even be better to convert from a Chapter 7 to a Chapter 13; talk to your lawyer about this.

Make sure to include all of the debts that you want eliminated on your bankruptcy filing papers. If you posses debts that aren't listed in the paperwork, they wont be included in your discharge. Be certain to list all of your debts so that none that could have been discharged will be overlooked.

Look into other options before deciding to file for bankruptcy. Credit counseling is an important option for you to pursue. There are even non-profit companies that may be able to help you. They can work with both you and your creditors to find a feasible way in which your debts can be paid off. They act as intermediaries between you and your creditors; you pay the counselors and they pay the companies to which you owe money.

Before your first meeting, make a list of questions you have for the bankruptcy lawyer. Most lawyer will only meet with you for an hour before charging you for their services. Therefore, bringing a list of questions with you can make the consultation go more smoothly and quickly, which will save you money. Be sure to grasp everything that is going on around you when it comes to bankruptcy.

If you find a job right before filing your bankruptcy papers, and finally have a steady income, you may still want to file for bankruptcy. Even with some extra cash, bankruptcy could still be your best bet. When you file for bankruptcy tends to make a huge difference. Should you file prior to earning your first paycheck, that money will not be considered when it comes to how you will repay.

Find a bankruptcy attorney that has a great reputation in your area. Once you have narrowed down your choices to one, call and ask if they offer a free consultation. If so, visit each one, taking your financial records with you. They will be able to fill you in on the entire process.

Thoroughly examine the different types of bankruptcies to see which type is appropriate for your needs. Bankruptcy comes in different variations. Before filing for bankruptcy it is crucial you educate yourself on all the different types. Balance the positive and negative attributes of each, and seek the advice of professionals before you decide.

It is normal to feel apprehensive about filing for bankruptcy, because it is not an easy process. Even though you feared bankruptcy before, this article can rid you of that fear. Use this personal bankruptcy advice as soon as possible and make things better for yourself and your loved ones.




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