Nobody is enthusiastic about filing for bankruptcy, but sometimes it is simply the right financial choice. Going through this ordeal is easier when equipped with lots of solid advice. Continue to read this article to learn what has helped others who have filed for bankruptcy.
Be sure you’re doing what’s right before you file for bankruptcy. Consider any other options that are available to you, such as consumer credit counseling. Before you take the drastic move of filling for bankruptcy and living with a long lasting bad credit history, make sure to consider using another way that may not be as damaging to your credit.
Don’t hesitate to give your attorney a heads-up about something she has missed. Don’t assume that he will remember something you told him weeks ago. Speak up, because it is your future on the line.
Although you can find many bankruptcy attorneys listed in your local Yellow Pages or online, it’s best if you can find one through the personal recommendation of a friend, family member or acquaintance. There are many companies who take advantage of financial desperation; that is why it is important that you get someone that is trustworthy.
Don’t try to hide anything if you are filing for bankruptcy, as this will hurt you in the long run. Good or bad, you must tell your bankruptcy attorney everything about your financial situation. Be completely honest in your paperwork to avoid a situation that may end in severe punishment.
Never give up. Certain property cannot be repossessed while you are in the process of filing for bankruptcy so be sure to learn about the laws in your state. If you have any property in repossession that was taken less than three months before filing for bankruptcy, then there are good odds that you can get your property back. Consult with a lawyer who is able to assist you in the filing of your petition.
Brush up on the latest bankruptcy regulations before you decide whether or not to file. The laws are constantly undergoing changes, so you must stay on top of them if you are going to file for personal bankruptcy correctly. To learn how the law has changed recently, go online and check your state’s website, or call the state government and ask them.
Think about all the choices available to you when you file for bankruptcy. You can get your interest rates reduced or enter into a debt repayment plan. Before you file bankruptcy, ask your attorney if any of these are viable alternatives for you. Look into loan modification plans if you need to deal with an imminent foreclosure. A good lender will be able to assist you in a variety of ways, from getting rid of your late charges to reducing interest rates. You may even be able to get a loan extension, giving you the extra time you need to pay your debt off. Most creditors will be willing to work out an option to avoid not getting paid at all.
Once your initial filing is complete, it is time to take some time to relax a little. It can be several months between the initial filing and the final discharge of debts. Depression and burn-out from pent of stress will do nothing to help your situation, so it is critical to let go a little. Life is going to get better once you get through this.
There are circumstances where you are able to keep your car during a bankruptcy so be sure to ask your lawyer about possibly reducing the payments. A lot of the time you can lower payments by filing for Chapter 7 bankruptcy. For instance, you can get lower payments on you car if you purchased it before filing and took a loan with high interests on it.
Make sure you are acting at the appropriate time. They say timing is everything, and this rings true when filing for bankruptcy. There are situations in which it is in your best interest to file immediately, but other times it is advisable to wait. Discuss the strategic timing of your bankruptcy with your attorney.
Decide right up front that you are not going to feel embarrassed or ashamed about needing to file bankruptcy. The bankruptcy process makes people feel guilty and ashamed. These feelings can cause you to make rash decisions and cause psychological problems. To best deal with filing for bankruptcy, look for the positives in the situation.
Nobody really wants to file for bankruptcy but it sometimes is just something they have to do. Having studied the information in this article, hopefully you are better prepared to deal with the bankruptcy process. Taking time to learn from those who have traveled this road before you will make your own journey less stressful.