3 Mistakes to Avoid When Filing for Bankruptcy

Are you struggling financially? Bankruptcy could provide you a financial fresh start. But, to get all the benefits of bankruptcy you should avoid these three mistakes many people make when filing bankruptcy.

Filing Too Late

Many people delay filing bankruptcy out of fear or misunderstanding of the process. They try to do everything they can to pay their debts such as selling personal belongings and cashing out savings. But, this rarely helps and only creates a worse financial situation. Waiting could also give creditors time to do the following:

  • repossess a vehicle
  • foreclose on a home
  • obtain judgments or place liens on the property
  • start garnishing wages

While bankruptcy may be able to help with these things, it is more difficult if they are finalized before filing bankruptcy.

Providing Bankruptcy Court with Inaccurate Information

During the bankruptcy process, you are required to submit all your financial information to the bankruptcy court for review. The information you provide must be complete and accurate. Failure to disclose or lying about any of your financial information could cause your case to be dismissed or worse, lead to criminal prosecution.

Filing without an Attorney

There is no law requiring you to have the help of an attorney to file bankruptcy. But, trying to file bankruptcy on your own could leave you worse off than when you started. Bankruptcy law is complicated and everyone’s financial situation is different. An experienced bankruptcy lawyer will be better able to identify how the bankruptcy laws apply to your financial situation and help you take the right steps. Your financial future is at stake so you should get the help you need.
Our bankruptcy lawyers have over 20 years of experience helping Alabama residents get a financial fresh start. We are passionate about helping our clients get on the road to financial recovery. If you are wondering if bankruptcy could help you, contact us today for a free evaluation. Let us see if our attorneys can help you secure a brighter financial future.