Lanna Martin Kilgore, PLLC
Always ReadY, Always There.
Call Today to Schedule a Consultation 270.846.3700 This is an Advertisement

How can I give my bankruptcy filing the best chances for success?

Bankruptcy Questions - Lanna Martin Kilgore

How can I give my bankruptcy filing the best chances for success?

If you’ve decided to file for bankruptcy under either Chapter 7 or Chapter 13, there are certain steps you can take that will offer you the best chances of successfully completing the bankruptcy process. In fact, you may benefit from preparing for certain aspects of bankruptcy months before you actually file, to make the process as smooth and painless as possible. Read on to learn about what you can do before filing to make your bankruptcy petition strong.

Don’t hide your upcoming bankruptcy filing from your creditors

You might assume that it would be bad if your creditors found out you’re planning to file for bankruptcy before you file. However, letting them know that you plan to file could result in that creditor postponing legal action to collect on a past-due debt.

Postpone paying loans back to family members

A bankruptcy trustee will look back at your major financial transactions over the months leading up to your bankruptcy filing, in part to discover any incidents where you might have tried to hide assets from the court and your creditors prior to filing for bankruptcy. If you took out a loan from a family member, you might think you should pay it back before you file, but hold off. A large payment made to a family member any time during the 12 months before you file your petition could look like a so-called “preferential transfer,” and your family member could even be required to return that money, so that it’s available to creditors.

Hold off on accruing lots of credit debt

In the months immediately before filing, you might be at an especially tough point in terms of being able to afford your bills, and tempted to open new credit cards or other credit lines to get by. What’s the harm if all that debt is about to get eliminated, right? Not so. The bankruptcy court could find the fact that you accrued a great deal of debt right before filing for bankruptcy as an act of bad faith or fraud.

Gather all bills and statements to find addresses where you can notify creditors of your bankruptcy

Your bankruptcy attorney can assist you with the process of compiling a list of all your open financial accounts and notifying those institutions of your bankruptcy once your petition is filed. In the meantime, don’t throw out statements or bills you receive from these institutions, even when it feels overwhelming to watch bills mount up. Having these statements on hand will make it easier to make a list of all your open accounts, and to find a good address or phone number to contact them.

If you are in need of experienced and compassionate legal help to file for bankruptcy in Kentucky, contact the seasoned Bowling Green bankruptcy lawyer Lanna Kilgore for a consultation on your case, at 270-846-3700.

Contact Form Tab