There is hope for a better life after bankruptcy, no matter the unpleasantness that went before. The main point is to start over financially. Keep reading to see how bankruptcy can actually give you a new lease on life, rather than function as a permanent financial albatross.
Always be honest and forthright when it comes to your bankruptcy petition. Resisting the temptation to hide income or valuable assets from the bankruptcy trustee is a smart way to avoid potential complications, penalties, and the possibility of being barred from re-filing in the future.
Don’t be afraid to remind your lawyer about important aspects of your case. You cannot expect your lawyer to remember every important detail without some reminder from you. Ultimately, this is your bankruptcy and your financial future, so never hesitate to advocate on your behalf.
You might experience trouble with getting unsecured credit after filing for bankruptcy. This being the case, look at secured card options. By doing this, you will be letting people know that you want to fix your credit score. After some time passes they may be willing to offer you unsecured credit.
Be as honest as you possibly can when filing for bankruptcy; hiding liabilities or assets will only hurt you in the long run. The professional that helps you file for bankruptcy has to have a complete and accurate picture of your financial condition. Don’t hold anything back and formulate a smart strategy to deal with the reality you are facing.
If you’re filing for bankruptcy soon, be sure you are going to hire a lawyer. You may not know everything you need to know in order to have a successful outcome of your case. A personal bankruptcy attorney can help and guide you along through the bankruptcy process.
60 Month Period
Be sure you know how Chapter 7 and Chapter 13 differ. The Chapter 7 variety can help you eliminate your debts almost entirely. This type of bankruptcy ends any relationship you might have with creditors. With a chapter 13 bankruptcy, a 60 month period of time will be established in which you will repay the as much of your debt as possible. Following the 60 month period of time, the remainder of your debt will be excused. Look into both types of bankruptcy before deciding which one would suit your particular needs.
Find ways to relax while you go through the process of filing for bankruptcy. Filing is the most intensive step in the process, so afterwards it’s important to let go of some of your stress. That stress can cause depression, if you don’t take care to avoid it. While the process is tough, you are getting a chance to start over.
If keeping your vehicle is of great concern, ask your lawyer if you can secure a payment modification. Lower payments can sometimes be structured into a Chapter 7 solution. The vehicle must have been obtained more than 90 days before filing and be a loan with high interest. You must also have consistent work history.
Be sure you’re acting when the time is right. When it comes to filing for bankruptcy, your timing is important. In certain situations, you should file right away, but other situations will warrant you waiting. Talk with a bankruptcy attorney to find out the ideal timing for filing based on your particular situation.
Prior to filing for bankruptcy, purge from your vocabulary the word “shame”. It is possible for those going through the bankruptcy process to feel unworthy, guilty or ashamed. These feelings do not help you and provide no value. A good way to deal with bankruptcy is to make sure that you keep a stiff upper lip.
In conclusion, most circumstance that lead to bankruptcy are not positive. But, that does not mean that your post-bankruptcy life cannot be fantastic. Bankruptcy may well represent the point where you turn your life around, and you can handle it better by making use of the suggestions this article has provided.