When you decide to file for personal bankruptcy, it is a very serious decision that should not be entered into lightly. Digest the information contained herein, so that you are aware of what you can expect and you know what actions to take prior to making that critical decision. Prepare yourself by learning as much as possible beforehand.
When you feel certain that you must file for personal bankruptcy, refrain from squandering your life savings to pay off unsecured debt. Avoid ever touching retirement funds until you have no other choice. Of course you will have to touch some of your savings to get through all of the hearings, but do not put out any money that you do not have to by law.
Do not pay your taxes with credit cards that will be canceled when you file for bankruptcy. In most states, this is not dischargeable debt. Therefore, you will end up owing the IRS a lot of money. The rule here is that if you can get the tax discharged then you can get the debt discharged. This means using a credit card is not necessary, when it will just be discharged.
Don’t feel bad if you need to remind your attorney about any specifics of your case. Do not assume that if you’ve already told him or her something important once, that they will remember it later without a reminder. All information submitted to the court with your signature needs to be double checked.
When looking for a lawyer to handle your bankruptcy claim, the best way to go is off of a personal recommendation instead of simply flipping through the phone book. Don’t allow yourself to be taken advantage of by predatory lawyers just because you are filing for bankruptcy. It is important to find someone trustworthy.
As you can probably see, filing bankruptcy does not happen quickly or easily. There are quite a few things you you need to do and do correctly. Take advantage of the advice in this article, and make sure everything you have is in order. With bankruptcy, you can’t be too careful.
