The One Thing I really Want Bankruptcy Clients To Do Is . .
By Kurt O'Keefe, Attorney at Law on Mar 15, 2008 in Bankruptcy Myths, Bankruptcy Practice and Procedure, General Bankruptcy Information, Michigan
Realize that all debts means: all debts.
Clients edit what their attorneys ask them, without telling us.
“I did not think the water bill was a debt. Well, gas and electric, those are utilities, those aren’t covered by bankruptcy law, are they? Well, I didn’t tell you about that one because I planned on paying it. But I like my doctor.”
Listing a debt in your bankruptcy schedules does not mean you do not want to pay it, it just means you owe the money, actually, that someone claims you owe them money, as you can always list a debt as disputed.
You can pay anyone you want, after you file.
You are under oath in a Federal Court.
You sign the papers under penalty of perjury, and again swear to the accuracy of what you did sign at the 341 hearing.
Filing false documents is grounds for denial of your discharge, the reason for filing bankruptcy.
The bankruptcy trustee and other interested parties, the creditors, are entitled under the law to accurate information about your finances, including, all the debts it is claimed that you owe.
If you forgot about a debt, or discover a new one, tell your attorney as soon as you remember, because your schedules can be fixed by amendment.
Your attorney’ advice is only as good as the facts she has, if you leave some out, the quality of the advice declines.
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