Our Bankruptcy Blog

Things To Do To Get Through a Bankruptcy

No one ever plans to go through a bankruptcy, but sometimes it’s the only way to get back on track.

If you’re facing bankruptcy, there are some things you need to do to ensure that the process goes as smoothly as possible.

Here’s what you need to know.

Gather All Financial Documents

Having your financial documents on hand can be a lifesaver in times of financial difficulty. Despite popular belief, bankruptcy is not the end-all answer to debt-related issues, but if bankruptcy does become an option for you, having all of your financial information accurately organized will put you in the best possible position to tackle the situation and continue confidently moving forward.

Therefore, it is important to make sure you are regularly gathering and safely storing all key documents related to your finances.

This includes past tax returns, pay stubs and income information, bank account statements or investment summaries, loan applications and credit card records – anything that affects or documents your current or past financial decisions.

Having these records readily accessible can help alleviate some of the burden during difficult situations and make sure you’re making informed decisions when it comes to handling your assets.

Consult with a Bankruptcy Lawyer

When it comes to filing for bankruptcy, consultation with an experienced bankruptcy lawyer is essential.

Bankruptcy attorneys can help you understand your rights, the differences between different types of bankruptcy filings, which filing might be right for you and what documents you may need to bring to court.

They also offer valuable advice on how best to manage your debts so that you don’t find yourself in this situation again in the future.

A consultation with a qualified bankruptcy lawyer can help ensure your legal rights and that you get back on track as quickly as possible.

Attend Mandatory Credit Counseling

Attending mandatory credit counseling is an important step toward becoming financially sound.

It’s a great opportunity to review your financial health, identify areas where you could improve it, and develop effective strategies for making smarter financial decisions.

Credit counseling will provide you with the tools to build a strong budget, negotiate with creditors, avoid inconsistent payments and get back on track if you’re facing financial difficulties.

With the help of a certified credit counselor, you can understand your current situation and come up with a plan that works for you. Taking advantage of these resources available to you can make all the difference in achieving your financial success.


Couple planning for Bankruptcy


File for Bankruptcy

Filing for bankruptcy can be an intimidating process, but it is sometimes necessary if you find yourself in insurmountable debt.

Consulting with a qualified bankruptcy attorney can help you understand all of the options available to you and identify which one may make the most sense in your particular situation.

It’s important to carefully consider all of the implications that might come with filing a bankruptcy petition so that you will be well-prepared when it is time to proceed further.

Being fully informed and taking steps to protect yourself while filing your case can lead to improved financial stability over time.

Comply with the Terms of Your Bankruptcy

It is highly advised that if you have gone through the process of bankruptcy, you adhere to the terms and commitments that have been set out in your bankruptcy agreement.

Depending on what type you receive, different rules will be in effect for repayment. Make these payments a top priority as failure to follow through with payment arrangements can result in severe consequences, including the annulment of your bankruptcy.

In addition, non-payment could also reflect poorly on debtors since creditors may initiate legal action.

By complying with the terms of your bankruptcy filing and paying back creditors, you can take steps to restore your credit score sooner rather than later.

Rebuild Your Credit after Bankruptcy

Rebuilding your credit after bankruptcy is possible, but it takes time and effort. To start, you’ll need to create a budget so you can take control of your finances.

Make sure you are paying all of your bills on time, as this is the most important factor for improving your credit score. Consider setting up automatic payments for bills that don’t fluctuate in amount each month.

Once you have a handle on the basics, look into applying for a secured loan or credit card to add positive history to your credit report. Keep an eye on your progress by regularly checking your credit score and making adjustments as needed.

With dedication, patience and a focused effort you can rebuild your credit after a bankruptcy.

It’s important to remember that it’s never too late to start rebuilding your credit. With patience and dedication, you can restore your financial stability and once again be in control of your finances.

As long as you remain aware of necessary costs and plan ahead for unforeseen expenses, you have the ability to maintain financial security even after going through a bankruptcy. It may seem daunting at first, but rest assured that there are resources available to help guide you along the way.


hiring an attorney to help file bankruptcy


Hiring an Experienced Bankruptcy Lawyer?

It’s important to hire an experienced bankruptcy attorney as one of the steps to take when you’re facing bankruptcy and you are worried about credit rebuilding after.

This is because there are many different types of bankruptcy. Only an experienced lawyer will know which one would work best for your specific situation.

It might seem like it makes sense to do this yourself. But most people don’t have the time or patience to understand all of the intricate details involved in bankruptcy.

That means they make mistakes by not choosing the right type, or by not filling out paperwork correctly. Both things could lead to delays and ultimately hurt your chances of getting any debt relief at all.

This is not a journey to take lightly, but it is also not one to take alone. If you need to file for bankruptcy, reach out to us today to start your journey with us.

If you want to learn more about the options you have and steps to take, call us for a free consultation.


Rebuilding credit after bankruptcy? Parker & DeFresne can help!

Parker and DuFresne

Parker and DuFresne