BEFORE YOU FILE YOUR BANKRUPTCY

1. Do not procrastinate if you are facing legal action. Do not wait until after your house is foreclosed, your car is repossessed, or your wages are being garnished. Find out what bankruptcy relief is available to you.

2. Do not have more than about $50 in your bank account (or other liquid assets, such as stocks or mutual funds) on the day of filing for bankruptcy. Taking the money out and paying your bills with money orders for a week or so prior to filing bankruptcy will ensure that the balance is low.

3. Do not file when you are owed a substantial tax refund from the IRS or State because the Court will take it to pay your creditors. Wait until you receive your refund or, if it is midyear, change the number of exemptions that you claim on your W-4 so that you get a larger paycheck now and a smaller refund later. But don’t forget to change it back the first of next year.

4. Do not give anyone post-dated checks. This includes pay-day loans. If you have given any-one a post-dated check, you should discuss it with attorney Keith Moskowitz prior to filing your bankruptcy.

5. Do not file when someone owes you money because the Court will collect that money and pay it to your creditors. Try and collect the money before you file.

6. Do not pay a family member or business partner significant amounts of money (more than about $599) within the year prior to filing bankruptcy. The bankruptcy trustee may try to have your family member or business partner return the money so that it may be paid to your creditors.

7. Do not transfer any assets out of your name prior to filing bankruptcy.

8. Do not pay any unsecured creditor more than $599 in the 90 days before filing bankruptcy

9. Do not incur debt once you have seriously considered bankruptcy as an option.

10. Do not take any cash advances or make any charges on any card for 90 days before filing bankruptcy.

11. Do not file if you are anticipating an inheritance within the next year.

12. Do not file if you are intending to sell your real estate soon.

It is important to discuss any of these matters with attorney Keith Moskowitz. If you think you have made one or more of the mistakes, or have any issues related to them, make sure we know about it, as most can be corrected.