Life Credit Cards

We all know people who claim to be legal experts but have no formal training. If such a person has told you that you should run up your credit cards before you file for bankruptcy because all your debt will be discharged anyway, please disregard their advice. If the Bankruptcy Court senses that you are acting in bad faith and taking advantage of the system then they will dismiss your claim. Therefore, to get the Bankruptcy Court to stay on your side and give you the benefit of the doubt, you need to make sure you have not used your credits cards within 90 days prior to filing for bankruptcy.

It is understandable that most people who are filing for bankruptcy are doing so because they have little or no money to pay their debts. It is, however, a great idea to make some payments at least to some of your creditors with any disposable income you may have. It will help your cause with the Bankruptcy Court when they perceive that you are willing and would make payments to all your creditors if you had the means.

If you want to make sure your bankruptcy petition gets filed quickly and with as little stress as possible, then there is information that you can gather for you attorney prior to drafting your petition. You will want to document or gather the following: (1) Mortgage(s) – Determine what your current appraisal value is as well as your pay-off amount, determine the mortgagors information, and determine what your monthly payments are and how many payments you are behind, if applicable; (2) Vehicle(s) – Ascertain the market value of all your vehicles, and if financed or leased, collect the lenders information and the pay-off amount; (3) List of Unsecured Creditors – Collect the addresses of all your unsecured creditors (i.e., credit cards, medical bills, personal loans, cash advances) and how much you owe; (4) Pay Stubs – - Obtain pay stubs or proof of income for the 3 months prior to filing.

Be sure you have all of your taxes filed with the IRS. The Bankruptcy court will not allow you to discharge your debt if taxes are left unfiled. Furthermore, as is the case in Los Angeles, some Bankruptcy Courts will require you to furnish your returns from the past two years. It is also a good idea to also provide those returns to your attorney to ensure accuracy when he/she drafts your petition. If you do not have copies of your tax returns, then contact your regional IRS office and have them mail you copies for a nominal fee.

A complete accounting of all your expenditures can be extremely helpful in allowing the Bankruptcy Court to get a better sense of your financial pressure. Using your bank statements, your credit card statements, and your memory make a list of all of your regular monthly expenditures. Remember to include expenditures on items such as food, clothing, laundry, medications, taxes, alimony, school expenses, and personal care items.

When you are dealing with complex matters that can affect you for years to come it is a great idea to retain a specialist. Since you are reading this article it is likely that you are not bankruptcy savvy. Therefore, hire a qualified bankruptcy attorney to help you file and save yourself the stress of drafting a petition and the stress of having your petition dismissed for failing to provide correct information.

Bankruptcy Lawyer Los Angeles – Law Offices of Alon Darvish

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