#1 – Don’t transfer property to friends or relatives-Lawyers Modesto, CA

A lot of people think that they can simply dump off all their assets to their relatives, and then file for bankruptcy. Wrong. If you have engaged in these types of transfers you need to see a Modesto lawyer at the law office of Ben Roberts ASAP. Hold off on transferring anything until you speak to an attorney.

#2 – Report all of your pre-filing transactions-Attorney Modesto, CA

Make sure you report everything that was transferred to you and everything that you transferred to others. The documents that you sign in bankruptcy are under penalty of perjury so you don’t want to get yourself into trouble. If the trustee feels as though you are playing hide the ball, he can deny your discharge outright.

#3 – Buy and sell at market value-Modesto, CA Attorneys

If you need to sell you car because you need the money, that’s fine as long as you sell it for market value. If you sell a car worth $10,000 for $1,000 to your relative, then that could raise a fraud issue. If you happen to get a great deal on something and it increases your net worth, then that’s also okay.

#4 – Don’t change the form of property ownership-Modesto, California

Don’t change the form of ownership with your assets right before filing for bankruptcy. A judge could look at these last second transactions as fraudulent. The closer you are to bankruptcy, the more fraudulent it looks.

#5 – Don’t go out on a spending spree-Lawyer Modesto

If you know you are going to file for bankruptcy, then you can’t make large transactions on your credit card. For example, don’t pull out a cash advance or go out and buy a diamond ring right before filing bankruptcy. Chances are you will have to pay the money back. However, if you made a large credit card transaction many months before filing, then you are probably safe.

#6 – Tell your attorney everything-Lawyer Modesto, CA

Make sure disclose all of your assets and liabilities to your attorney. Remember, surprises are not a good thing when it comes to bankruptcy.