Filing for bankruptcy is a big decision, so it’s important to make sure that you are properly prepared for the process. Let’s take a look at a few of the things that you should do before filing for bankruptcy, including scheduling a consultation with a New City bankruptcy attorney!
How Can a Prepare Before Filing For Bankruptcy?
There are a few things that you can do before filing for bankruptcy if you want to make sure that the process goes smoothly. You should:
- Have a list of all of your assets
- Make a list of all debts and liabilities
- Gather deeds and titles to any valuable property
- Make sure that you have your tax returns from the last three years
Once you have all of these important documents gathered together, you can give a lawyer an accurate view of your finances. This can help us determine if bankruptcy is a good option for you and, if it is, which chapter of bankruptcy would be your best bet.
Should I Talk to a Lawyer Before Filing For Bankruptcy?
You may be wondering if you really need a lawyer to file for bankruptcy. We do recommend having a lawyer because this is a potentially complex process with a lot of money at stake. A lawyer can help you do this the right way. They can help you negotiate a fair payment plan in Chapter 13 bankruptcy or take full advantage of any asset exemptions in Chapter 7 bankruptcy. They can also answer any questions you have and make sure that you don’t miss important deadlines.
Can I Talk to Creditors Before I File?
It also may be a good idea to talk to creditors before filing. Bankruptcy may not be your only option. If you are able to come to a deal with your creditors that allows you to pay off your debts over time while still being able to handle your living expenses, that might be a better choice for you. Bankruptcy can affect your credit for years. You should be absolutely sure that filing is the smartest path forward.
What Shouldn’t I Do?
Of course, there are also a few things that you should avoid doing before filing for bankruptcy. You should not:
Use your retirement account to pay debts: These types of accounts are often protected in bankruptcy proceedings.
Pay off specific debts: This can cause problems because it gives preference to one lender over another.
Accrue new debt: Racking up a bunch of debt right before you file could look suspicious.
Leave anything out: Give the court a full, complete financial picture. Trying to hide assets is not a good idea.
Contact Our Bankruptcy Attorneys
Bankruptcy can be a complicated process, so you want to make sure that you are doing everything right. A seasoned bankruptcy attorney from our firm can help you do this right and get a fresh financial start, so contact the Lauterbach Law Firm before filing for bankruptcy. We’re ready to assist you.