What Should You Not Do Before Filing Bankruptcy in Ohio?

There are steps you should never take before filing for bankruptcy.

Filing for bankruptcy can, in the long run, increase your credit score and get back on track with your finances. However, there are some things you’ll need to avoid doing before you file, or else you could face some serious consequences. Here’s what you should not do before filing.

Give Assets to Loved Ones

Giving away your personal items to family members and asking them to return these items at a later date is a red flag. You could still lose your items, even if you do this. Instead, there are legitimate ways to try to keep your personal belongings.

Lie About Assets

You will need to go through a means test, where you reveal how much income you make and what assets you have. If you lie, then you may not be able to file for bankruptcy now – or ever again when it comes to your current debt. You’ll need to tell the truth at all times.

Use Your Credit Card

Once you decide to file for bankruptcy, you should stop using your credit cards. Otherwise, it’ll look like you’re running up your cards in hopes that the debt will be discharged. You could not only mess up your relationship with your creditors, but you may owe that debt back anyway, even if you successfully file for bankruptcy. It’s not worth it to take a chance.

File on Your Own

It’s always a good idea to reach out to a bankruptcy attorney to help you file instead of filing on your own. An attorney will be knowledgeable about what assets you can keep, as well as the right way to go about filing so you’re not in violation of the law.

Get in Touch With Richard P. Arthur

Richard P. Arthur, Attorney at Law, can help you file for bankruptcy in Ohio. You can call 937-254-3738 for a consultation. He has more than three decades of experience helping clients in Dayton and Trotwood, as well as Montgomery, Greene, Miami, Clark, and Warren counties.