(June 22nd,
2007)
If you're filing for bankruptcy, you're already
in lots of trouble. You sure do not want to add any more troubles
to your already huge list of troubles do you? So avoid the following
10 huge mistakes that anyone filing bankruptcy can commit:
1) Failure
to Disclose any Past Bankruptcies
When you're going through the court proceedings,
be sure to disclose any previous bankruptcies you may have declared.
If you don't, the Judge will check the US Bankruptcies Database
and easily find out that you have previously declared it, and
this will make matters even worse for you.
2) Understating Your Income and Overstating
Your Expenses
Do NOT use faulty techniques such as understating
your monthly income and overstating your expenses to make the
judge believe that you do not have any disposable income left
over to pay off bills.
3) Failure to Disclose Assets Owned
You may think, "I don't want to lose
my car, therefore i better not say anything about it."
The Judge has means and ways of finding out that you own a motor
vehicle. Instead, tell your Attorney that you do indeed own
a car and its a huge necessity for you, thus the Attorney will
find ways of helping you retain your vehicle. If you do not
want to lose your bankruptcy petition and be declined, declare
all of your material assets to your Attorney and let him deal
with them.
4) Trying to Use a Paralegal
Under the new Bankruptcy laws, you cannot
use a Paralegal to give you bankruptcy advice. Instead, you
need the help of a professional bankruptcy lawyer, especially
if you own material assets.
5) Failure to Remit Documents
If the court asks you to fax them any important
documents, do this immediately and take it very seriously. Your
case could go against you if you fail to remit any important
documents in a timely manner.
6) Missing Court Times
If you miss your court hearings, your case
will be awarded against you. Being late to the court could also
have negative impact on your case.
7) Transferring Assets
Do NOT transfer your house or car out of your
name and to someone else's name only to declare bankruptcy thereafter.
The US Bankruptcies Database works in conjunction with other
Titles databases across the country. They will track this change
of assets down and will relate it to your bankruptcy case. If
they do find out, your case will be very difficult.
8) Cash Advances
If you take out any huge cash advances to
yourself 3 months before filing bankruptcy, creditors will have
even a bigger reason to confiscate all of your assets and the
Court will not be sympathetic towards you at all.
9) Abusing Credit Cards
If you're thinking, "I'll max out my
credit cards and make lots of purchases, only to declare bankruptcy
thereafter", you're wrong! Most of these purchases will
be reversed and you will have to return the items purchased.
Also, your bankruptcy petition will probably be declined.
10) Be Honest
That's the best advice any Bankruptcy Lawyer
can give you. Be honest!
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