Bankruptcy Errors: Know Them to Avoid Them

Bankruptcy law in the United States is extremely complex, and it can be easy to make a common error or mistake without realizing it. Whether you are in the early stages of just beginning to contemplate a bankruptcy filing or you have already filed for bankruptcy, it is critical to know about frequent bankruptcy errors that individuals and businesses make so that you can avoid them. Some bankruptcy mistakes can be significant enough that you will be unable to receive a discharge, and in some instances, concerns about bankruptcy fraud may even arise. It is important to remember that our West Palm Beach bankruptcy lawyers can help, and the following are some common errors we want to point out so you can avoid them when you are going through a bankruptcy case.

Error: Incorrectly Reporting Information 

When you file a petition for bankruptcy and all accompanying forms and schedules, you are required to report all information accurately. Even a minor mistake in the information you provide could delay your bankruptcy case or, worse, raise concerns about fraud. Everything needs to be checked and rechecked prior to filing.

Error: Omitting Information 

Failing to accurately report information can also mean omitting information. Whether you omit certain assets intentionally or accidentally, you can cause significant problems in your bankruptcy case. Unintentional errors may be remediable, but intentional omissions can result in bankruptcy fraud allegations.

Error: Filing for the Wrong Chapter of Bankruptcy 

It is critical to understand the different types of bankruptcy and what they can (and cannot) do. Be certain that you file for the chapter of bankruptcy that best suits your needs and financial circumstances. Chapter 7 bankruptcy is a type of liquidation bankruptcy that both individuals and businesses commonly file, but individuals must prove their eligibility. Reorganization bankruptcies are typically filed by individuals under Chapter 13 and by businesses under Chapter 11.

Error: Not Understanding All Steps in the Bankruptcy Process 

If you do not understand all of the steps in the bankruptcy process, you could miss a critical step, such as a required debtor education course or the 341 meeting of creditors, for instance.

Error: Failing to Hire a Bankruptcy Attorney 

Nearly all bankruptcy errors can be avoided by simply hiring a bankruptcy lawyer from the start of your case. Failing to hire an attorney is a common error, but you can avoid it by getting in touch with a bankruptcy attorney in South Florida who routinely handles individual and business bankruptcy cases.

Contact Our West Palm Beach Bankruptcy Attorneys Today 

Do you have questions or concerns about bankruptcy in South Florida? Whether you are planning to file for bankruptcy as an individual under Chapter 7 or 13, or your business is planning to file under Chapter 11 or 7, our firm is here to help. An experienced West Palm Beach bankruptcy lawyer at Kelley, Fulton, Kaplan & Eller can speak with you today to learn more about your circumstances and to respond to inquiries about consumer and business bankruptcy processes. Contact us today for more information about how we can assist you.

Source:

law.cornell.edu/uscode/text/11