Legal

5 Things to Know About Filing for Bankruptcy

Posted on

Filing for bankruptcy protection isn’t a decision that should be made lightly, but many people enter the process without knowing how it works. In this guide, potential clients can learn several important facts about bankruptcy protection.

Finances Become Public Record

Once a person files for bankruptcy, their finances become a part of the public record. While this may be embarrassing, it may help to be honest about financial mistakes and start with a clean slate. Those who file for bankruptcy must attend a meeting where they may face questions from creditors. The process can be uncomfortable, but it gives the filer a chance to explain themselves.

Failing to Practice Full Disclosure is a Serious Mistake

During a filing, it’s important for clients to include all pertinent information. If someone isn’t honest with their lawyer, they can’t do their job, and if it’s found that the person has hidden debts or …