Your debts have hit a point where creditors are calling you at work, and at home. You’re also afraid your wages will be garnished, which will put you deeper in debt. Filing a Chapter 7 or 13 bankruptcy may be your best option. However, if you are considering filing bankruptcy, here are 4 prebankruptcy “don’t” tips:
- Don’t pay past due bills that aren’t absolutely necessary. While a Macy’s, or similar creditor’s, credit card is wonderful, Macy’s is an unsecured creditor. Paying one unsecured creditor over another will be frowned upon by the bankruptcy court. Limit your bill payments to absolute necessities, such as rent or mortgage, car payments, and utilities.
- Don’t make new charges on your credit cards. Running up your debt in anticipation of filing bankruptcy is also frowned upon. Don’t make new charges on your credit cards or writing cash advance checks against your credit cards - this will cause problems in your case.
- Don’t give high priced gifts or money. Whether it’s someone’s birthday, anniversary, or some other occasion, do not incur additional debt to give a gift. And if you owe money to friends and family, like Macy’s, any payment to these individuals that shorts another unsecured creditor will be looked at with a jaundice eye by the bankruptcy court and can cause problems for the family member.
- Don’t hide assets. This is a big no no. Don’t try to protect your assets by giving them away to or putting the title to the asset in the name of someone else. We will help you protect your assets and rights in your case.
Most important, before you file bankruptcy, consult an experienced bankruptcy attorney to answer your questions and guide you through the pre- and bankruptcy process.
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Contact the “Milwaukee Foreclosure and Bankruptcy Attorneys,” DeLadurantey Law Office, LLC. DeLadurantey Law Office, LLC focuses on Chapter 7 and 13 bankruptcy, debtor’s rights, debt negotiations, debt relief, mortgage loan modifications, and foreclosure defense. A “defender of the little guy,” DeLadurantey Law Office, LLC serves the following location - Milwaukee, South Milwaukee, West Milwaukee, Waukesha City, Waukesha Town, Kenosha, Racine, and all other municipalities in Milwaukee County, Waukesha County, Kenosha County, and Racine County.
DeLadurantey Law Office, LLC: (414) 377-0518.