Need A Fresh Start? Read These Tips Now!
05/19/2015 09:04
Declaring bankruptcy is a negative process. Bankruptcy is often a dire sign in a person's financial life, and can cause significant embarrassment and shame. If you decide to file bankruptcy, research the laws in your state and retain the services of a qualified attorney.
Don't use a credit card to pay off your taxes before filing for bankruptcy. Most states do not look at this debt as chargeable, and you could end up owing money to the IRS. Should the tax be dischargeable, the debt is often dischargeable as well. Thus, it doesn't make sense to use a credit card when it is going to be discharged when you file for bankruptcy.
Consider all options before deciding to file for personal bankruptcy. Alternatives do exist, including consumer credit counseling. Your credit score will be forever effected by bankruptcy, which is why you should do everything else in your power to resolve matters first.
Don't feel bad if you need to remind your attorney about bankruptcy lawyer Milwaukee any specifics of your case. Don't assume that they will recall every detail that you go over with them without a friendly reminder. Be as open as you can be to make sure your bankruptcy goes as well as possible.
It's not uncommon to learn soon after bankruptcy that you are unable to get an unsecured credit card easily. If you find yourself in this situation, you may want to think about getting a secured card or two. If you pay what you owe back promptly at all times, you can show that you are taking steps to be responsible about your payments and credit rating. In time, it may be possible for you to obtain unsecured cards.
It is important to understand your rights when filing bankruptcy. You might even be able to get back secured property that has been repossessed in the 90 days before filing. If it has been 90 days or less between the repossession of your property and your filing, you might be able to get your property back. Talk to a lawyer for help with the petition filing process.
Safeguard your home. Filing for bankruptcy does not mean you have to lose your home. Depending on certain conditions, you may very well end up being able to keep your home. If you meet certain criteria, you may be able to retain ownership of your home even after filing for bankruptcy.
Consider Chapter 13 bankruptcy, if you chose to file. If you have less than a quarter of a million dollars in debt that is unsecured and a regular income, you are eligible to file a Chapter 13. The benefit of this plan is that you retain personal belongings and private real estate and your debts are repaid by an organized payment plan. Such plans generally take between 3 and 5 years to complete, at which point. a discharge will be granted. Missing a payment under these plans can result in total dismissal by the courts.
If your income exceeds your obligations, you should not seek bankruptcy protection. Although you may see bankruptcy as a free pass to eliminate your debt, if you can slowly whittle away at your debt with your income, it will be much better than killing your credit score with a bankruptcy filing.
It is possible to obtain new vehicle and home loans while a Chapter 13 case remains active. However, it can be more difficult. You will be required to meet a trustee and be approved for a new loan. You will need to come up with a budget and show that this new loan payment schedule is doable. You will need to be able to explain why the purchase is necessary.
Understand the rights you have as a bankruptcy filer. Bill collectors can try to scare you into believing that your debt will not be cleared. There are very few debts, such as child support or student loan debt, that can't be bankrupted. If the bill collector is trying to deceive you, then report that company to your local attorney general's office.
Bankruptcy is a challenging time and can create a huge amount of mental and emotional stress. To combat these problems, look into securing a good lawyer. Do not let price be the only factor. Your lawyer does not necessarily have to be the most expensive one; however, you should be certain of his or her qualifications and abilities. Get referred from others who've been in the same situation, check the BBB, and interview several people through free consultations. Try to get a referral from a trusted friend or family member.
Make sure that you disclose every bit of financial information on your bankruptcy petition. If you forget to add these, your petition could be delayed or dismissed. Even if you believe that certain financial information is inconsequential, do not avoid including it in your documentation. Some things to be included are: current loans, valuable vehicles and side jobs.
Do not use credit cards for cash advances prior to filing a bankruptcy petition, as it can affect the dischargeability of the debt. To do this would be considered fraud. Even after filing for bankruptcy, you might be forced to repay money gained in this manner.
Filing a petition for bankruptcy should be a last resort. The tips laid out here will guide you toward the right road so you can avoid bankruptcy. Learn to live within your means and bankruptcy may be avoided.
Don't use a credit card to pay off your taxes before filing for bankruptcy. Most states do not look at this debt as chargeable, and you could end up owing money to the IRS. Should the tax be dischargeable, the debt is often dischargeable as well. Thus, it doesn't make sense to use a credit card when it is going to be discharged when you file for bankruptcy.
Consider all options before deciding to file for personal bankruptcy. Alternatives do exist, including consumer credit counseling. Your credit score will be forever effected by bankruptcy, which is why you should do everything else in your power to resolve matters first.
Don't feel bad if you need to remind your attorney about bankruptcy lawyer Milwaukee any specifics of your case. Don't assume that they will recall every detail that you go over with them without a friendly reminder. Be as open as you can be to make sure your bankruptcy goes as well as possible.
It's not uncommon to learn soon after bankruptcy that you are unable to get an unsecured credit card easily. If you find yourself in this situation, you may want to think about getting a secured card or two. If you pay what you owe back promptly at all times, you can show that you are taking steps to be responsible about your payments and credit rating. In time, it may be possible for you to obtain unsecured cards.
It is important to understand your rights when filing bankruptcy. You might even be able to get back secured property that has been repossessed in the 90 days before filing. If it has been 90 days or less between the repossession of your property and your filing, you might be able to get your property back. Talk to a lawyer for help with the petition filing process.
Safeguard your home. Filing for bankruptcy does not mean you have to lose your home. Depending on certain conditions, you may very well end up being able to keep your home. If you meet certain criteria, you may be able to retain ownership of your home even after filing for bankruptcy.
Consider Chapter 13 bankruptcy, if you chose to file. If you have less than a quarter of a million dollars in debt that is unsecured and a regular income, you are eligible to file a Chapter 13. The benefit of this plan is that you retain personal belongings and private real estate and your debts are repaid by an organized payment plan. Such plans generally take between 3 and 5 years to complete, at which point. a discharge will be granted. Missing a payment under these plans can result in total dismissal by the courts.
If your income exceeds your obligations, you should not seek bankruptcy protection. Although you may see bankruptcy as a free pass to eliminate your debt, if you can slowly whittle away at your debt with your income, it will be much better than killing your credit score with a bankruptcy filing.
It is possible to obtain new vehicle and home loans while a Chapter 13 case remains active. However, it can be more difficult. You will be required to meet a trustee and be approved for a new loan. You will need to come up with a budget and show that this new loan payment schedule is doable. You will need to be able to explain why the purchase is necessary.
Understand the rights you have as a bankruptcy filer. Bill collectors can try to scare you into believing that your debt will not be cleared. There are very few debts, such as child support or student loan debt, that can't be bankrupted. If the bill collector is trying to deceive you, then report that company to your local attorney general's office.
Bankruptcy is a challenging time and can create a huge amount of mental and emotional stress. To combat these problems, look into securing a good lawyer. Do not let price be the only factor. Your lawyer does not necessarily have to be the most expensive one; however, you should be certain of his or her qualifications and abilities. Get referred from others who've been in the same situation, check the BBB, and interview several people through free consultations. Try to get a referral from a trusted friend or family member.
Make sure that you disclose every bit of financial information on your bankruptcy petition. If you forget to add these, your petition could be delayed or dismissed. Even if you believe that certain financial information is inconsequential, do not avoid including it in your documentation. Some things to be included are: current loans, valuable vehicles and side jobs.
Do not use credit cards for cash advances prior to filing a bankruptcy petition, as it can affect the dischargeability of the debt. To do this would be considered fraud. Even after filing for bankruptcy, you might be forced to repay money gained in this manner.
Filing a petition for bankruptcy should be a last resort. The tips laid out here will guide you toward the right road so you can avoid bankruptcy. Learn to live within your means and bankruptcy may be avoided.