Debt that is impossible to pay down or off affects life in many ways, from parenting to working to your mental outlook. The constant worry and stress can also affect your physical health, often leading to high blood pressure and other ailments.
Once you decide that a Chapter 7 or 13 bankruptcy is your best option, you want to avoid mistakes or actions that can ruin your bankruptcy plans. The following tips can help ensure that you do nothing to attract the negative attention of your creditors and the bankruptcy court.
Do not get rid of assets
You might think it is okay to gift your family heirlooms and other possessions to relatives before filing for bankruptcy. Unfortunately, the court might dismiss your case, or you may even face legal trouble if you dispose of assets.
Do not lie about what you own
While it is understandable to fear losing all you have accumulated over the years, do not lie about your assets when you file your documents. The trustee assigned to your case will have access to your financial records and will eventually discover any discrepancies.
Do not take on new debt or abuse credit cards
Resist the temptation to seek a loan or misuse your credit cards before a bankruptcy filing. Doing so can interfere with your filing, and a judge may order you to pay your balances in full.
What should you do when preparing to file?
Learn about Pennsylvania bankruptcy laws and obtain professional counsel. The team here at the Quinn Law Firm stands ready to assist you through every step of your bankruptcy. Give us a call today at 814-806-2518.