Taking the step to file for bankruptcy is certainly a large one.  Not only is there a certain amount of stress associated with debt, but there are formalities that must be following throughout the bankruptcy process.  One such formality is the all-important task of listing each and every one of your creditors.  Such creditors may not only include credit card companies, and lenders, but could be anyone at all that you owe money to.  It could be a family member, a hospital, a friend, among others.  This is surprising to many people who believe that bankruptcy only focuses on credit you owe to financial institutions.

Be Sure to List All Creditors on Your Bankruptcy Petition

One of the biggest mistakes individuals make is to leave out one or more creditors at the initial stage of the bankruptcy process.  Oversights do happen, and if a harmless mistake was made, it can be corrected.  However, in situations where there are multiple creditors missing, the bankruptcy trustee or judge may believe an individual is intentionally leaving creditors off the list, and even if this is not true, and this is only a mistake, it still can make the process much more stressful than it needs to be.  If you choose to file for bankruptcy, you will be required to list all creditors, and the bankruptcy court then sends notice to these creditors so that they can seek to collect the unpaid debt.

By leaving a creditor out of your bankruptcy petition, you are not protecting that creditor’s right to recover as much of the unpaid debt as possible.  If you recognize the error quickly, you can file a document with the court that adds the creditor to the list.  If you do not recognize the error, any debt you owe to this creditor will not be discharged as part of your bankruptcy, and the debt will remain outstanding until you pay it.  Leaving a creditor of this list, whether intentional or not, is not in anyone’s best interest, as the purpose of bankruptcy is to eliminate all debt, and not just some.

Why You Should Work Alongside an Attorney

Mistakes are bound to happen from time to time, as we are all human.  Bankruptcy and other legal matters leave little room for mistakes, and while some mistakes can be very minor, other mistakes could significantly impact your bankruptcy filing.  By choosing to allow an attorney to help you with the bankruptcy process, you are reducing the risk that serious mistakes will be made.  An attorney can handle the majority of the bankruptcy process for you, relieving you of additional stress, as you won’t have those lingering questions in your mind of whether or not you correctly filed your bankruptcy petition.  An attorney gives you the peace of mind you need to successfully overcome your debt.

Contact Kansas City Bankruptcy Attorney Douglas Breyfogle Today to Schedule a Free Consultation

Debt plagues millions of individuals and businesses from all across the United States.  When debt has taken over, you should not feel ashamed, as many others are in the same shoes.  Debt can easily accumulate for any one of a variety of reasons, and sometimes the only way to get the debt under control is to seek a method of debt-elimination.  Bankruptcy has proven to be successful for numerous individual consumers and businesses.  When bankruptcy may not be right for your situation, there are often other options available to you for eliminating your debt in the most feasible way possible.  With more than twenty years of experience, Kansas City Bankruptcy and Debt-Relief Attorney Douglas Breyfogle continues to provide his clients with well-rounded and dedicated legal representation.  Speaking with Mr. Breyfogle will help you get a handle on your debt now so that you can eliminate your debt and learn to live debt-free in the future.  To schedule your free consultation to speak with Mr. Breyfogle about your financial situation, contact our office today by calling (913) 742-8700.