The advantages of bankruptcy are numerous. You may consider it bad, that you are making a mistake in handling your finances. On the other end, you may think it will solve all your financial problems. Both are parts of the truth: bankruptcy can hurt your financial record, but because it can discharge thousands in debts, it's still very smart. Bankruptcy will not solve all your problems. If you mismanage your finances again, you may be out of options. This makes it quite important to take what you get by filing: a second chance.
Need Bankruptcy Lawyer, Bankruptcy Attorney Las Vegas NV, Bankruptcy Lawyers In Jacksonville FL,
But it all goes down the drain if you're denied.
You can be denied for filing bankruptcy? Yes, though most filings are accepted and go through, sometimes your Chapter 7 or Chapter 13 filing can be denied. Chapter 7, where you liquidate assets in order to pay high credit, medical, mortgage, among other bills, still has rules. Chapter 13, where you pay some or all of your debt over a longer, more manageable period, has some guidelines for acceptance too.
Here are the ways you can be denied. Then we'll go into more detail.
-You do not go through credit counseling before filing; it's required.
-You do not tell the truth on bankruptcy forms.
-You try to hide property.
-You do not pay the filing fee for bankruptcy, if not filing the incorrect forms for your bankruptcy.
-You do not appear at the meeting of creditors (also called the 341 meeting).
-Or you fall behind and stop making payments on your Chapter 13 plan.
Credit Counseling
It's pretty simple here: you have to go through approved credit counseling within the 180 days prior to filing for bankruptcy. This is a very simple process, but is part of the filing.
Lying on Forms, Hiding Property
In other words, you are committing bankruptcy fraud by lying or hiding assets. This happens often where filers want to show they have less income, less assets, and less property than they really have. You might try to hide a property you stand to lose from bankruptcy. This breaks the law and you could not only be denied bankruptcy, but end up in jail.
Correct Forms and Paying the Court
If you feel you may file the forms incorrectly, that's okay. This is not the end of the world. Your best option is to consult with an experienced bankruptcy lawyer. He or she can make sure you have no delays by filling out all forms correctly. And the filing fee, though seemingly large to those lacking money, is reasonable in all considerations. You pay $299 to file Chapter 7, and $274 for Chapter 13. This does not include lawyer fees, which too may seem expensive until you consider the benefits.
Meeting of Creditors
The meeting of creditors, which is commonly called the 341 meeting, is required. It's an out-of-court meeting where you, your creditors, and your bankruptcy trustee all meet. Quite often creditors do not appear, saving you time.
Paying on Your Chapter 13 Plan
Perhaps the most common way for a Chapter 13 bankruptcy to be dismissed is missing payments. Remember, in this you are paying over a more manageable period. If you feel the debts are impossible, consult with your lawyer and consider Chapter 7 as an alternative.
All it takes is some time and a little funds to get this process right. Your best asset in avoiding denials is to hire an experienced bankruptcy lawyer.
Is Bankruptcy Right For You? Talk to Bankruptcy Attorneys Free and Confidential. Licensed bankruptcy attorneys are available. Attorneys will call you to discuss your case for free. Find out if bankruptcy is right for your situation.
Rating of Denver Bankruptcy Attorney
Get Online Application at online Bankruptcy Lawyer.
0 comments:
Post a Comment