A trusted bankruptcy lawyer knows that many people who go to their office have the same question: is it possible to plan for bankruptcy? When people think of bankruptcy, they typically think of it as a last resort. In fact, is it even possible to plan for something like bankruptcy or do you only fall into it when all other financial avenues are too difficult to go through? Planning for bankruptcy is possible and can make the process go much smoother, especially when you work with an experienced bankruptcy lawyer. Instead of thinking about bankruptcy as a last resort, try considering it to be a smart financial decision.
What do you need to know before you file for bankruptcy?
When you speak with a bankruptcy attorney about filing for bankruptcy, there will be a few things to remember.
- Getting the timing right. Believe it or not, you will want to time your bankruptcy just right if you are able to. There are many things that can affect how successful your bankruptcy is. For example, you may qualify for Chapter 7 bankruptcy if you are single and you may not if you are married because of how the income median is determined. Or, if you are considering moving sometime soon, you will want to speak with your bankruptcy attorney about the exemption rules in your state now and the state you are considering moving to.
- Paying or not paying certain creditors. You will want to speak with your attorney about the debts that you have, but usually, if you are filing for bankruptcy and you know certain debts will be discharged (such as medical bills), then continuing to pay off these bills before the court discharges your debts could be a huge waste of your money.
- Looking over certain exemptions. When you file for bankruptcy, there will be a list of certain assets that are considered “exempt.” This means that certain property will be protected during the process. This can help you understand which property you will be able to keep and which property you can expect to lose depending on the type of bankruptcy you file.
Get Help from a Bankruptcy Attorney You Can Rely On
Do you want to know more ways you can plan for bankruptcy and how the process may go? Please reach out to a lawyer, like a Chapter 7 bankruptcy lawyer from Pioletti Pioletti & Nichols, for more information today.