Just because you have filed for bankruptcy, it doesn't mean you will be declared bankrupt and shielded from your debts. There are grave mistakes that can get your case dismissed even if the depth of your financial distress qualifies you for discharge. Knowing what these mistakes are before making the bankruptcy application will help you prepare for them and increase your chances of succeeding. Here are four mistakes to avoid:
Hide Anything From the Court
Willfully lying in court is called perjury. It is one of the things that can get your bankruptcy application denied. Some people hide assets so that the trustee cannot seize and use the assets to settle some outstanding debts. For example, you may be tempted to withhold the information that your brother owes you a lot of money and has promised to pay it back within a month. Whatever your reason for withholding some information, it can cost you dearly when your perjury is discovered.
Ignore the Pre-bankruptcy Counseling Class
Every person applying for bankruptcy must complete a credit counseling class first. The purpose of the counseling is to identify alternative ways, if possible, of handling your financial stress. This is because, legally, bankruptcy should be the last resort. Pre-bankruptcy counseling isn't optional; it's a requirement, and failure to complete it may lead to a denial of your discharge.
Fail To Complete Chapter 13 Payment Plans
A Chapter 13 bankruptcy discharge isn't complete until you have completed your payment plan. Failure to make the payments can lead to several dangerous consequences, one of them being that your bankruptcy application may not be confirmed. Even if you default after your bankruptcy has been confirmed, the case may still be dismissed.
Fail To Attend Meeting with Creditors
Whether you are applying for Chapter 7 or 13 bankruptcies, you are required to attend the meeting of creditors. This hearing gives your creditors the opportunity to question you, under oath, about your financial affairs and verify the information you provided in your bankruptcy papers. You may be able to reschedule the hearing if you have a valid reason, such as a medical emergency. However, missing the meeting without prior notice or a solid reason may get your case dismissed.
As you can see, your work isn't done just because you have filed for bankruptcy. There are still essential measures you must take to ensure the bankruptcy discharge succeeds. Your bankruptcy lawyer will guide you through the process; ensure you follow their directives if you don't want to get your case dismissed. For more information, visit http://www.tblakelaw.com or a similar website.