4 Things to Consider When Filing For Bankruptcy in Dallas
Bankruptcy protection can help end financial hardships, help in rebuilding credit, and give you the fresh financial start you deserve. Bankruptcy can be a scary process for most people because of all the myths and mystery about it, but you are not alone. Bankruptcy is a good option for those:
- Facing Foreclosure or Repossession
- Have unsecured debts such as medical bills, credit card debt, and payday loans
- Have secured debt such as tax liens, second mortgages, and other secured debt
- Have debt collectors calling at home or work
- Have judgment lawsuit filed against them
- Have bank accounts frozen
- Have their wages garnished
Even though bankruptcy is a complex and overwhelming process, we at Johnson Bankruptcy Law believe in simplifying the bankruptcy experience to make bankruptcy accessible to all. To help get you starting in your understanding of bankruptcy, we have put together some tips for people who are considering bankruptcy:
Don’t Charge on Credit Before Filing for Bankruptcy
Many people try to max out their credit cards and use up all their available credit before they file for bankruptcy so they can cheat the bankruptcy system. You should never do this. In bankruptcy, creditors are allowed and will review any credit charges prior to the filing of bankruptcy. If they believe you have used credit without intention of paying back the amount, they have the right to question and challenge your request to eliminate your debt with them. You could end up owing money to some credit companies after bankruptcy is over
Don’t Exclude Any Income
Many people think that a part-time job or a second job does not technically count as income, but unfortunately, this is not true. Any money coming in to your household is considered income. Even if you only make a $100 from a part-time job on the side, it should be included in your bankruptcy case. If you exclude any income you make, it could be considered fraud in the eyes of the bankruptcy court. For that reason, you should never exclude any form of income if you wish to receive a bankruptcy discharge.
Avoid Any Form of Forgery
Most people who file for bankruptcy will qualify for bankruptcy, but for those don’t, sometimes they resort to forgery. If you file for bankruptcy and you hind information about your assets and/or income, you are committing forgery and fraud in the eyes of the bankruptcy court. Again, if you commit forgery or fraud, your case will be dismissed and you could even by barred from ever filing bankruptcy again. For those reasons, you should always be honest and forthcoming with information about your assets and income.
Consult With An Experienced Bankruptcy Attorney
Bankruptcy is a complex process and unknown to most people. Before you file or think of filing, you should seek the advice of an experienced attorney before you file. With an experienced bankruptcy attorney as your guide, you will be able to navigate through the complex subject known as bankruptcy and see whether or not bankruptcy is the best option available to you based on a full review of your past and current financial situation.
Even if you might feel that you are going through your financial crisis alone, remember this is never the case. There are many free resources and guides available to help you along every step of the process. If you would like to get started and see what options are available to you, contact us by calling 214.748.4848, e-mailing us at Questions@BLJLaw.com, or click the button below to schedule your appointment with one of our qualified and experienced bankruptcy attorneys.
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