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April 2024

10 Common Bankruptcy Mistakes You Can Easily Avoid

Filing for bankruptcy can be a complex process, and there are many mistakes that people often make that can make it even more difficult. Here are 10 common mistakes that people make when filing for bankruptcy and how

you can avoid them:


  1. Failing to disclose all of your assets and debts. It's important to provide a complete and accurate picture of your financial situation when filing for bankruptcy.
  2. Choosing the wrong type of bankruptcy. There are several types of bankruptcy, and each one has different requirements and benefits. It's important to work with a bankruptcy attorney to determine which type is right for you.
  3. Filing for bankruptcy too soon. You may be tempted to file for bankruptcy as soon as you start having financial difficulties, but it's important to consider all of your options before making a decision.
  4. Failing to attend mandatory credit counseling. Before you can file for bankruptcy, you're required to complete a credit counseling course. Failure to do so can result in your case being dismissed.
  5. Running up debt before filing for bankruptcy. If you make large purchases or take on additional debt before filing for bankruptcy, it may be considered fraudulent and could result in your case being dismissed.
  6. Failing to keep up with your bankruptcy payments. If you file for Chapter 13 bankruptcy, you'll be required to make regular payments to your creditors. Failing to do so can result in your case being dismissed.
  7. Failing to prioritize debts correctly. In bankruptcy, certain debts are given priority over others. It's important to work with a bankruptcy attorney to determine which debts should be paid first.
  8. Failing to follow bankruptcy court procedures. Bankruptcy court has specific procedures and rules that must be followed. Failure to do so can result in your case being dismissed or delayed.
  9. Failing to disclose all sources of income. You're required to disclose all sources of income when filing for bankruptcy. Failure to do so can result in your case being dismissed or even criminal charges.
  10. Failing to hire a bankruptcy attorney. Bankruptcy law is complex, and it's important to work with an experienced bankruptcy attorney to ensure that your case is handled properly.
Understanding the Bankruptcy Process: A Step-by-Step Guide
10 Common Bankruptcy Mistakes You Can Easily Avoid
Bankruptcy vs. Debt Settlement: Which is Right for You?
The Top 5 Myths About Bankruptcy That May Be Holding You Back
Rosalind B. Johnson Esq.

Managing Attorney

EMAIL: 

questions@johnsonfirmpa.com

PHONE: 

(407)-374-2896

TAGS: BANKRUPTCYCENTRAL FLLAWYER