The decision to file bankruptcy may be one of the most important financial decisions of your financial life. While it will provide you with a fresh start financially, it can also scar your credit history for a significant period of time. Success in bankruptcy means making sure that the advantages of filing bankruptcy outweighs its disadvantages. Below we discuss five crucial keys to bankruptcy success in Oklahoma.
1. Be honest with your bankruptcy attorney
Success requires the assistance of an experienced and competent bankruptcy attorney. But in order for your attorney to do his best for you, he must have a thorough understanding of your financial situation. No matter how difficult and embarrassing it may be, you must be completely honest and forthright when discussing your financial details with your attorney. Success in bankruptcy requires that you make the right choices from the very beginning. Being completely honest with your attorney will allow him to make choices that will avoid complications that can threaten the success of your bankruptcy.
2. Be accurate with your financial details
Filing bankruptcy in Oklahoma requires you to fill out 50+ pages of information detailing creditors, income, expenses, assets and how you elect to deal with your debt. In addition, you may be required to gather certain documents in support of your stated financial position, such as past pay stubs, banks statements, business records and tax returns. It is your duty to be as accurate and as thorough as possible when providing this information. Overstating or understating your financial details can have a huge impact on the outcome of your bankruptcy. Furthermore, if you are asked to provide, for example, six months of pay stubs, provide no less than the requested amount. Failure to provide documents in the breadth and quantities requested can hamper the process and make it more difficult for both you and your attorney.
3. Fulfill your responsibilities as a client
A good bankruptcy attorney will do as much as he can to lessen the burden placed on you when you file. However, there is only so much your attorney can do for you. Bankruptcy laws require you to personally fulfill certain requirements such as providing documents to the court, completing the credit counseling courses and showing up for the 341 Meeting (Meeting of Creditors). Your attorney cannot do these this for you and the more time he spends getting you to do these things, the less time he has to focus on the complexities of your particular case. Taking care of your responsibilities as a client will make the bankruptcy process easier for both you and your attorney, and ultimately render your bankruptcy more successful.
4. Be prepared to make some sacrifices
For most, the decision to file bankruptcy is a difficult decision to make. It is made no less difficult by the fact that when you file bankruptcy, you may risk losing some cherished assets in the process. Most filers lose very little and receive a complete discharge of their unsecured debt, however, there are situations where you may be required to liquidate or turnover certain assets to the court in order to satisfy creditors. If you encounter this situation, it is important to remember that you filed bankruptcy to lessen your financial burden and to receive a fresh start. This may require that you make some significant sacrifices. Keeping your eye on the big picture and focusing on your long-term goals will make these short-term sacrifices a lot easier to make.
5. Be ready for success after bankruptcy
Filing bankruptcy will give you a fresh start financially, but in order to full take advantage of the opportunity, you must establish new financial habits immediately. Start by making a note of the mistakes you made in the past, so that you can avoid repeating them in the future. Focus on establishing new financial habits by avoiding unnecessary debt and paying off your bills on time. This will help you rebuild your credit and live with more financial freedom. Remember, that once you have received a discharge of debt under bankruptcy, you will not be eligible to file again for several years. Therefore, you will have to live with whatever financial choices you make for a long time, so be sure to make be smart decisions.
Free Consultation: Oklahoma City Bankruptcy Lawyer
To find out more about how to successfully file bankruptcy in Oklahoma, contact an experienced Oklahoma bankruptcy attorney. For a free confidential consultation about your rights in bankruptcy court and the potential benefits of filing bankruptcy, contact the Debt Line Law Office at (405) 563-7888. If you prefer e-mail, send us your question using the form at the top right of this page and we’ll answer your question as soon as possible.