When filing bankruptcy, debtors must remember that the bankruptcy trustee is there to make sure that creditors get paid as fairly as possible. This means that the bankruptcy trustee will examine your assets and their value so that he/she can repay your creditors. Failure to fully disclose your assets in a bankruptcy can have legal repercussions. That’s why bankruptcy debtors need to do everything possible to make sure that they don’t forget any assets. Below are few questions you should ask yourself when compiling your list of assets:
- Are there any assets that I share with others? For example, are you listed on the bank account of an elderly relative as a convenience? Do you own part of a car title or the deed to a home?
- Do I have an inheritance the is due soon? As a wealthy relative passed on and left you an inheritance? Even if that inheritance has not been disbursed at the time of the bankruptcy filing you will still need to disclose it to the bankruptcy court. Also, inheritance doesn’t just have to be money, it can be any type of asset, including, stocks, bonds, real estate property, jewelry, rare coins etc.
- Did you transfer an asset to someone else only to have them transfer it back to you after you realized you were going to file bankruptcy? Just because you reverse an illegal transfer, does not mean that it does not exist. You will still need to disclose the transfer of the assets in your bankruptcy filing.