Shielding Your Assets: Insights from a Bankruptcy Attorney

Bankruptcy is a legal process that allows individuals or businesses to seek relief from their debts. While it has its own set of benefits, bankruptcy can also have long-lasting consequences on an individual’s assets. This is where the role of a bankruptcy attorney comes into play. As an experienced attorney, I have seen many clients struggle with protecting and safeguarding their assets during the bankruptcy process. In this article, I will share some insights and tips on how to shield your assets when facing financial difficulties.

The first step in shielding your assets is by understanding the different types of bankruptcy and how they affect your assets. There are two common types of bankruptcies for individuals: Chapter 7 and Chapter 13.

Chapter 7 bankruptcy involves liquidation, where non-exempt assets are sold to repay creditors. Exempt assets refer to property or possessions that cannot be taken by the court or creditors to pay off debts. These may include necessities like clothing, furniture, and personal items up to a specific value.

On the other hand, Chapter 13 bankruptcy follows a repayment plan approved by the court over three to five years. Under this plan, you get to keep all your properties as long as you make regular payments according to the schedule.

As a bankruptcy attorney, my advice for those considering filing for bankruptcy is never trying to hide any of your assets from the court or creditors. Hiding significant assets could lead you into serious legal trouble later on that could jeopardize your entire case.

Instead, it’s essential to disclose all your properties truthfully during the initial consultation with an attorney so they can help you protect them legally through exemptions or other means available under law.

Another important tip I offer my clients is proper planning before filing for bankruptcy can greatly help in protecting their most valuable asset – their home! If possible delaying filing until after selling any extra real estate property could prevent losing it during Chapter 7 liquidation proceedings against non-exempt property.

Moreover, maintaining and investing in expensive assets, such as a car or jewelry during a potential bankruptcy filing may also raise red flags. It’s better to spend those funds on essential needs rather than buying assets the court could deem as unnecessary.

During a bankruptcy case, the court appointed trustee possesses significant power of control over your assets’ fate. An experienced attorney can help you present your financial situation objectively to avoid any disputes with the trustee’s decision-making process.

In conclusion, shielding your assets while going through a bankruptcy process is not an easy task. Seeking guidance from an experienced bankruptcy attorney who understands The Law Office of Robert C. Hahn, III, P.S. bankruptcy attorneys in Spokane can be extremely helpful in this situation. Remember to always be transparent about your financial situation and disclose all assets for proper legal protection. Proper planning and expert advice can prevent you from losing valuable properties while still receiving benefits from filing for bankruptcy, if necessary. As a seasoned attorney, I have assisted numerous individuals in navigating through this challenging process while protecting their valuable assets successfully.

The Law Office of Robert C. Hahn, III, P.S.
2906 N Argonne Rd, Spokane, WA, 99212
509 921 9500