Don’t Make These Bankruptcy Mistakes

If you’re considering bankruptcy in the Chicago area, it really is imperative to have the advice and assistance of an experienced Chicago bankruptcy lawyer. If you think that you can’t afford a bankruptcy lawyer, think again. Bankruptcy has become an exceedingly complicated legal process, and any mistakes you make could delay your bankruptcy or even deny you the bankruptcy protection you seek. Here are some of the common mistakes made by those who file for bankruptcy without advice from a good bankruptcy lawyer:

1. Waiting too long: If your debts are overwhelming you, action is imperative, but that’s a good thing, because you can save a substantial sum if you address the issue earlier rather than later. If you’ve lost your job, don’t wait to be employed again before filing.

2. Not filing properly: Many people file bankruptcy under Chapter 13 when they really should file under Chapter 7. A Chapter 13 bankruptcy is more costly and lengthier because it involves the debtor actually paying the debts.

3. Refusing to file despite mounting debt: Many people irrationally refuse even to consider bankruptcy. They fear its effects on their credit, or they think it says something bad about their character. What bankruptcy actually does is provide you with a clean financial slate and a responsible way to obtain it.

4. Running up more debt: Don’t. It’s a genuine mistake to incur more debt after filing for bankruptcy. If you take a loan with no intention of paying it back, you could conceivably be charged with fraud and not allowed to file for bankruptcy.

While bankruptcy isn’t magic and isn’t for everyone, it can be the right solution in a number of situations. Being prepared, understanding the obstacles, and working alongside an experienced Chicago bankruptcy lawyer is the best way to obtain the debt relief and the fresh start you need.