When filing a bankruptcy petition, your bankruptcy attorney should do their due diligence.  To me due diligence means looking at public records to ensure we are protecting our clients assets and listing all of their debts.  At our office that means pulling a credit report to make sure you list all debt that reports to the credit bureaus.  We ask clients for a list of creditors too.  Why?  Because not all creditors report to the credit bureaus.  Further, we check public records for liens – judgment liens, tax liens and homeowner liens.  We ask our clients all questions on the bankruptcy petition to ensure we are adequately protecting their assets.  When all  assets cannot be protected in a Chapter 7, we give our clients realistic expectations of what can happen.  It is important for clients to make informed decisions on whether to file a Chapter 7 or a Chapter 13. 

Please remember if you are filing for bankruptcy in 2012, you are required to provide a copy of your 2011 tax return at least 10 days before your Meeting of Creditors (your court date).  We know, the IRS does not require filing of the return until April 2012.  This is a requirement of the Bankruptcy Code.  Your case will be slowed down or worse, can be dismissed for failure to provide a copy of the return. 

It is important to disclose all property owned — land — and personal property — such as cars, boats, jet skis etc.,.  The creditors are becoming much more active in trying to push debtors into Chapter 13 repayment plans or at least into asset Chapter 7 cases.  Be certain you let your attorney know of transfers of assets, especially if they were made to family members or business associates. 

Bankruptcy Attorneys - Mark and Cynthia Podis