Chapter 13 Bankruptcy Lawyer Dallas TX 
Many people who are in financial distress and considering filing for bankruptcy, consult with a chapter 13 bankruptcy lawyer in Dallas, TX from Brandy Austin Law Firm, PLLC. about the process and procedure. Usually, people want to know things like what to expect from the court, what they need to do to complete their petition, and what will happen after their case is over. Not many people consider how their actions leading up to bankruptcy can affect the filing of their petition. While each individual case may present its own challenges and specific pieces of advice, there are general principles that follow will apply to most, if not all, debtors.
Do Not Make Preferential Payments to Creditors
In other words, do not attempt to pay back one creditor in full, or pay back a significant portion of money you owe to someone just before filing for bankruptcy. You may feel rushed to pay off debts to certain parties before submitting your application. However, once you file for bankruptcy, any payments made to creditors prior to filing will be closely looked at to ensure some creditors did not get an unfair advantage. If a trustee finds you made a preferential payment, they will ask that the money be returned to them.
Do Not Pay Off a Car Loan
Despite what some believe, debtors may be able to keep their car (and other property) in the bankruptcy proceeding as an exemption. Other rules may apply to this principle depending on the equity you have in your car, so it is best to consult with a chapter 13 bankruptcy lawyer from Dallas before taking any action. Our legal team at Brandy Austin Law Firm, PLLC. can answer any questions you have about potential property exemptions.
Do Not Purchase Luxury Goods
Once a debtor realizes bankruptcy is inevitable, it may be tempting to take any money they may have and spend it on a shopping trip, a car, or vacations before they file their petition. Doing so can be a very bad idea though. Any high-end items or services that a debtor purchased prior to filing may be viewed as fraud by the court, and debts related to those items will not be discharged. If you already made a luxurious purchase and are not regretting it, we recommend getting advice from a TX chapter 13 bankruptcy lawyer.
Do Not Take Cash Advances
Similar to the situation regarding luxury items, if a debtor takes a large cash advance before filing, it could be viewed as fraud in the fact that the debtor had no intention to pay the creditor back. The debtor runs the risk of not having that debt discharged as part of the bankruptcy proceeding, or having their case dismissed entirely.
Bankruptcy Attorney
While these principles are general guidelines that apply to most cases, they may not apply in the same way to every debtor. That is why it is so important to hire a strategic Dallas, TX chapter 13 bankruptcy lawyer who can not only explain how the law applies to the facts of your specific case, but can ensure you are taking the proper steps to benefit you the most. The attorneys at Brandy Austin Law Firm, PLLC. have experience assisting bankruptcy clients.
Contact us today to schedule a consultation with a member of our legal team. A TX chapter 13 bankruptcy lawyer in Dallas can help you obtain the debt relief you are hoping for.
