If you're planning to declare bankruptcy, one of your concerns is whether handling the process yourself is the right option. That said, it is best to consult an attorney and get their opinion. They will explain that while bankruptcy filing can seem manageable, you shouldn't handle it without legal help. This is because you may make costly mistakes that could lead to a denial. A bankruptcy attorney will particularly want you to know about the following costly errors that could jeopardize your chapter 7 application.
Filing at the Wrong Time
One of the fundamental reasons for declaring bankruptcy is to prevent creditors from acquiring your property to recover their money. Therefore, you must file at the right time to save your belongings. Note that if you wait too long to start the bankruptcy application process, you may be more likely to lose your property to creditors. This is because they might get a court order to acquire your property before you declare bankruptcy. So, your lawyer will recommend filing for bankruptcy immediately after your creditors threaten to take legal action against you. Ultimately, this will enable you to halt the acquisition until the judge determines your case.
Failing to Provide All the Required Documents
Many people fail to qualify for bankruptcy simply because of failing to meet the requirements. For instance, they may fail to provide all the required documents. You should know that if you fail to submit the necessary paperwork, the court will not know whether you're a good candidate for bankruptcy. In addition, the judge might assume that you're trying to hide some information. Therefore, they might not approve your application. The best way to avoid such a situation is by working with an attorney when declaring bankruptcy. They will ensure that you submit all the documents the court requires to ensure that your application is successful.
Failing to Get Help When the Process Becomes Complex
If you handle the bankruptcy process yourself, you might encounter issues that may complicate the process. For example, you might file the wrong chapter or include the wrong property for exemptions. So, to avoid this, you need to get legal help immediately. A lawyer will know the measures to fast-track the process and ensure your application goes through.
The three errors above can jeopardize your chapter 7 applications, which could make you lose your assets to your creditors. The best way to avoid them is by working with a bankruptcy law firm. They will guide you throughout the application process to prevent mistakes that might make you fail to qualify for bankruptcy.Share