Bankruptcy Advisors Discuss Fraud

At Debt Advisors, we provide a second chance to people who are in serious debt.  We aspire to share knowledge and insight.  Education is a key component. This includes outlining a clear understanding of the bankruptcy process, including the importance of honesty.  Bankruptcy fraud is a federal offense, and a very serious matter.  We think you will agree that the penalties are just not worth the risk.

Bankruptcy Fraud is a federal offense. A Federal Crime segment of the Department of Justice, The United States Trustee Program, (USTP), is responsible for overseeing the administration bankruptcy cases and private trustees.  USTP investigates and makes criminal referrals for bankruptcy fraud.  One who is found guilty of bankruptcy fraud may be charged with a civil or criminal offense, depending upon the severity of the crime.  If a guilty verdict is decided, it could include both prison time and hefty fines.

All assets need to be listed within paperwork to prevent bankruptcy fraud

When a law firm files a bankruptcy petition on your behalf, the courts need to know everything you own.  Sharing this information doesn’t mean that everything will be taken away.   It’s state or federal laws that determine what property can be kept and what will be used to pay creditors.  The assets that you are allowed to keep are considered “exempt.”  Exempt assets play a part in both Chapter 7 and Chapter 13 bankruptcy.  However, if it is proven that bankruptcy fraud has been committed, the courts will be less likely to work with the debtor.  They may let the creditors have property that would have otherwise have been yours to keep.

Understating the value of property and assets, or not listing them, are the most common ways in which people commit bankruptcy fraud.  We believe that people are, for the most part, honest in nature.  Here is a list of things to avoid.
These actions would be considered deceptive:

• Fraudulent tax reporting or tax abuse
• Falsified statements on bankruptcy forms
  or while under oath
• Bankruptcy Fraud Schemes
• Failure to report all Assets; hiding or transferring them
• Using false identity including social security numbers
• Intentionally abusing credit cards with no intention of paying them off
• Bribing a court-appointed trustee

File with a reputable bankruptcy attorney

Bankruptcy can be a complex process, and it’s essential to be well-informed about the bankruptcy laws that apply to your situation. If you’re considering filing for Chapter 7, understanding the Wisconsin Chapter 7 means test is crucial. At Debt Advisors, our attorneys pride themselves on their deep knowledge of bankruptcy laws. We also advocate for our clients’ rights, especially when it comes to protecting them from debt collector abuse.

Whether it’s understanding how bankruptcy can halt eviction processes or diving deep into various bankruptcy advice, having access to a plethora of resources can make a significant difference. Before making any decisions, it’s always advised to thoroughly review resources, such as the insights we offer on what to consider before filing bankruptcy on your own. At Debt Advisors, we provide all these tools and more to ensure you’re making the most informed decisions. For those in the Sheboygan area, our local office in Sheboygan is readily available to assist you with personalized guidance and support

Debt Advisors Law Offices has been in business for more than ten years and has helped thousands of Wisconsin residents overcome serious debt.  When dealing with banks and creditors, accuracy is really important.  Forms are to be filled out completely and honestly, including truthful disclosure regarding assets. Debt Advisors bankruptcy lawyers are knowledgeable regarding both state and federal laws.  We will walk with you through every step of the bankruptcy process to ensure it is efficient and thorough.  Find out if we can help you by requesting a free case evaluation.  We have six Wisconsin locations to serve you.