It should go without saying that if you are filing bankruptcy make sure you always are upfront and always tell the truth when speaking with your bankruptcy attorney. The attorney is on your side and they are there to help you. Each question asked to gather information is pertinent to your case and is also information that legally must be disclosed on the bankruptcy petition. The debtor will be asked personal questions such as: Do you currently own any real estate? Have you ever owned any real estate? If so, when did you own it and when was it sold? Have you recently taken any cash advances from your credit cards? Have you paid back any family or friends over the last year? Are you self employed now or in the last 6 years? Do you have any stocks or bonds? What bank accounts do you have and what are the balances? Although many of the questions and information needed may seem too personal or the individual may feel ashamed to disclose everything, they need to remember that the bankruptcy attorney is always working for their best interests.
Filing bankruptcy is a serious matter and people need to realize that when going to court they are sworn in and must tell the truth. Failure to tell the truth can have serious consequences and any intentional or fraudulent concealment or false statements is punishable under federal law. The US Attorney’s office and the FBI investigate bankruptcy fraud and a conviction can carry a $250,000 fine and/or jail time, not to mention that the debtor’s bankruptcy discharge will be denied. An experienced bankruptcy attorney will make sure to gather all of the necessary information and will ensure that the filing process runs smoothly from the beginning to the bankruptcy discharge in the end. They will walk you through the process and explain what comes next and what to expect. The individual can then begin to rebuild their life and finances again with the fresh start that bankruptcy offers.