Bankruptcy: Why all the paperwork and what about switching banks?

July 8, 2010 - PRLog -- When contemplating filing a bankruptcy case, it is important to have a general understanding of the debts owed and the people you owe money to. In addition to that, there are documents that are essential when filing a bankruptcy case.

Since the inception of the new bankruptcy law, it is important to be able to provide documentation to prove your income status. In preparing your bankruptcy case to be filed, it is important to provide your attorney with not only your 4 previous year’s tax returns but also your pay information for the last 6 months.

The reason for this is that the Chapter 7 and Chapter 13 Trustees dictate your case based on the above information. In a Chapter 7 case it can mean the difference of a discharge in bankruptcy or a dismissal. In a Chapter 13 case, it can determine if you are going to pay nothing back on all the debts you owe, with the exception of the creditors you want to continue to pay, or having to pay everyone back.

Some people find this task to provide all relevant income information to be tedious, but the importance of it is unparallel to the time it takes to actually provide the information. Success in bankruptcy is dictated by the time and attention paid by you in your bankruptcy case. Knowing the importance placed upon providing documentation to your attorney, is the first step to success.

If you would like to find more information about attorneys in your area such as a bankruptcy lawyer in Wisconsin or a bankruptcy attorney in Deleware please fill out a free evaluation.

When you become aware of certain banks that will “freeze” your accounts whether or not you owe them money, it is time to change, especially when you need to file bankruptcy. Most people are concerned about where to start again, and the answer is simple– somewhere we tell you or somewhere that you feel is a better option. However, it is very important when opening another account to not be blinded by the light. Remember, banks are there to push certain “add-ons” to accounts to make them look better. A credit card, for example, is the main one. Yes it gives you a way to build some credit while going through a bankruptcy, but what they forget to tell you is that the credit card is also attached to the newly opened checking account, so in the event that something does not clear it charges the account. The times you are running to the store last minute and forget to write an entry, or when you offspring uses it then forgets to inform you on the amount are the times that get you. The overdraft charges on the card then cause many problems, because then you as a client can not file for your bankruptcy until 90 days after the last charge…which in the “emergency” circumstances is not good and makes the process become a pain on everyone’s plate. So watch for the “hidden add-ons” that can easily make the road to recovery even longer.

If you would like to find more information on attorneys in your area such as a bankruptcy lawyer in Arkansas or a bankruptcy attorney in Washington please fill out a free evaluation.

For more information visit http://www.bankrupcy-alternative.com/after-lawsuit.html or call us directly. Here is another bankruptcy article http://www.prlog.org/10784814-bankruptcy-chapter-7-and-re... for your reading enjoyment. You may also view another press lease http://www.prlog.org/10782497-the-bankruptcy-wage-directi... at this page.

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