Classical Mistakes To Avoid When Filing For Bankruptcy


There are many people who might be interested in filing bankruptcy in order to resolve some of the financial difficulties they might have. When in such a position, it’s important to go through the motions of this in the right manner to avoid any problems in future. There are a few classical mistakes that most people make and which you should avoid including:


In order to have the application approved, you might think it necessary to make your situation look worse than it is. For instance, you may want to lie about how much you make each month in order to make it seem like you truly can’t service the debts you have. However, this almost always fails, and the consequences of being found out are often dire. You should therefore avoid it as much as you can.

Don’t leave out any income

When you are filing for bankruptcy, you will often need to include all the sources of income that you have. It’s important that you include all of them in order for the application to be considered more fairly. For instance, if you have a second or informal job, you should not think that the income you get from this should not be included in the application.

Make sure that you include all the debtors in the application

If, for instance, you have a credit card that has all the payments cleared, you might think that you should not include it in the application. However, it’s important that you do this as well. Even if the card has all payments cleared, you may not be able to use it after you file for bankruptcy, so it’s not worth it leaving it out. Besides, you can always apply for a new card after the bankruptcy, so this should not be such a major issue for you.

Hugo Esteban

How to Ensure Your Staff Are Comfortable and Healthy in the Office

Previous article

Why Proper Materials Handling In Any Manufacturing Plant Should Not Be Overlooked

Next article

You may also like


Comments are closed.

More in Finance