Many people file for bankruptcy only to find out that they violated a requirement and their case will be dismissed. Although there are some instances in which the actions were considered to be fraudulent, most of the time this results from unintentional actions. Before you file for bankruptcy it is important to know a few common actions that result in a case being dismissed.
Watch Your Step
There are numerous steps that you must complete in order to successfully have your debts discharged. The first is accurate completion of the bankruptcy petition. Because this document is so important for your filing, it is imperative that you are 100 percent honest and accurate with the information provided. If the bankruptcy court finds a discrepancy in your reporting, they may view this action as fraudulent and your case is likely to be dismissed.
A common mistake many filers make is failing to complete the credit counseling course requirement or pay the necessary court fees. The court requires anyone filing for bankruptcy to complete a credit counseling course within 180 days of the filing. Court fees are due at the time of filing the petition and are $299 for a Chapter 7 case and $274 for Chapter 13 case. Missing either of these steps may not be viewed as fraud, but are likely to get your case dismissed.
If you filed for Chapter 13 bankruptcy, you will be required to follow a payment plan. Any violation or deviation from this plan is likely to terminate the bankruptcy plan and lead to a dismissal. It is important that you notify the court before you miss a payment if you are under a Chapter 13 plan. There are instances in which the court will amend the plan to better suit your budget, as long as you do not default on the plan.