Personal bankruptcy can always be an option for people that have had items, like vehicles, repossessed by the IRS. There are times when bankruptcy is the last option left, even if it substantially damages your credit score. Keep reading to gain a better understanding of the bankruptcy process and of the ramifications of initiating a filing.
Stay positive. You may be able to regain property like electronics, jewelry, or a car if they’ve been repossessed by filing for bankruptcy. If your property has been repossessed less than 90 days prior to your bankruptcy filing, there is a good chance you can get it back. Get help from your lawyer to file a petition so you can get your items back.
If filing bankruptcy is in your future, don’t waste any savings you may have attempting to pay off your debts. You should always keep money saved for worse times. You may have withdraw from your savings every now and then, but try to leave yourself some financial security for the future.
Be certain that you can differentiate between Chapter 7 and Chapter 13 bankruptcy. Chapter 7 bankruptcy completely wipes out your debt. Your responsibilities to your creditors will be satisfied. If you file using chapter 13 bankruptcy, you will go through a sixty month repayment plan prior to all your debts being completely dissolved. To make the wisest choice, you will need to understand the consequences of each of these two options.
Be as honest as you possibly can when filing for bankruptcy; hiding liabilities or assets will only hurt you in the long run. The person you choose to file with needs to know both the good and bad aspects of your finances. Don’t hold anything back and formulate a smart strategy to deal with the reality you are facing.
You should understand that you need to speak with a bankruptcy attorney about what you should and should not do when it comes to bankruptcy. Your process will be easier if you have the information. Now that you have read the advice shared here with you, you can move forward on the right financial path for you.
