Posted On: July 9, 2010 by Scott Sagaria

What should I do before bankruptcy?

A San Francisco bankruptcy attorney addresses a pre-bankruptcy question...

What should I do before bankruptcy?

Can I prepare for bankruptcy?Yes. While most people generally do not want to think of bankruptcy as anything but a last resort, there are certain things someone can do to prepare before filing for bankruptcy.

What are some things I should do before bankruptcy?
If you are certain that you are going to file bankruptcy you should stop making payments on your credit cards. For most people, their credit card debt is going to be completely discharged so there is no need to pay on the cards anymore. For home or car payments, you need to continue making those if you wish to keep that property.

What should I do if I have lots of money in savings before bankruptcy?
If you have a significant amount of money in an account and you are worried you will not have enough exemptions to protect all of the cash, you can pre-pay your mortgage or invest in certain retirement accounts or other exempt accounts. Before bankruptcy you cannot, however, make any significant gifts of money or transfer cash to another non-filing family member.

Can I sell my home before bankruptcy?
Yes. California allows those filing bankruptcy to take advantage of any equity that may exist in the home. If someone chooses to sell their home prior to filing, they can protect a certain amount of money that was leftover from the sale, so long as the funds are invested in another homestead within six months of receiving such money. On your bankruptcy petition the funds are protected from distribution to unsecured creditors.

If you have questions regarding bankruptcy in San Francisco or bankruptcy in the greater Bay Area please contact our San Francisco Bankruptcy Attorneys at (415) 946-8882 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Francisco Bankruptcy Attorneys. After you have spoken with one of our Bay Area bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Francisco and Bay Area consumers in debt can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Francisco Bay Area!

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