Bankruptcy can be a lengthy process, and while it's possible to file for bankruptcy without a bankruptcy attorney, it usually isn't advisable. When a bankruptcy isn't performed properly (or is decided not to be warranted). It can be dismissed. A dismissed bankruptcy can have some consequences for you and may require that you procure legal help.
What Is a Bankruptcy Dismissal?
A bankruptcy has to be approved by the bankruptcy court to move forward. If there isn't enough documentation available or it seems as though you shouldn't qualify for a bankruptcy, the bankruptcy will be dismissed, and this will be a matter of public record.
What Are the Consequences of Bankruptcy Dismissal?
During the process of a bankruptcy, creditors cannot continue any collection acts. That means they can't petition for things like wage garnishment or even continue to call you for repayment. When a bankruptcy is disrupted, this no longer applies. Collection companies will be able to immediately start contacting you regarding your existing debts.
What Does With or Without Prejudice Mean?
When a case is dismissed without prejudice, it means it can be raised again. In other words, you can attempt to declare bankruptcy again. On the other hand, if it's dismissed with prejudice, you won't be able to file again for some time. The amount of time that you need to wait will need to be discussed with your attorney.
What Could Get Your Bankruptcy Dismissed?
Usually, a bankruptcy is dismissed because there's missing paperwork or a court date is missed; it's usually something that is controllable and fixable. For most declarers, it's a good idea to try to apply again because it's likely that the bankruptcy will be upheld as long as the proper paperwork is filed at the right time.
What Should You Do When Your Bankruptcy Is Dismissed?
An attorney can help you understand why your bankruptcy was dismissed and what you can do to get it put through. Often, it may be something like missing an important deadline, but an attorney will be able to help you prepare your documents and guide you through the court process. Otherwise, you could face a dismissal again and may need to wait to apply again.
A dismissal of your bankruptcy doesn't mean that you should give up. It just means that you may need professional help, or you may need to explore other options. Connecting with a bankruptcy lawyer can help. For more information, contact a company like Merna Law.
14 May 2019
Filing for bankruptcy has a tendency to make people feel ashamed and stressed out, and can turn into a big source of depression if not handled properly. As a counselor for couples and families, I have worked with various families throughout the years who have had to go through bankruptcy. And during this time, I have seen firsthand how, with the right mindset, going through bankruptcy can make people stronger in their financial lives and careers. I started this blog to provide information about the right things to do and the things that should be avoided while going through bankruptcy to minimize stress and maximize potential once the process is over. If you have any questions or concerns, hopefully they can be addressed on these pages.