Q Can I Use My Tax Refund to File Bankruptcy?
Yes! Absolutely you can.
A lot of our clients who are considering filing bankruptcy come in during tax season and prefer to use their tax refund to cover the cost of the bankruptcy. That's completely legal, and often a very wise choice.
There are a few things to make sure you keep in mind when considering paying for bankruptcy with your tax refund:
You don't have to pay all at once.
A lot of our clients will put some money down for a Chapter 7 bankruptcy, and then pay the balance after their tax refund comes in. If it interests you, we can help you look into this option.
The sooner you file, the sooner you get your refund. That means a faster resolution to your case, a faster end to harassing phone calls and wage garnishments, and a faster freedom from debt.
Using your tax refund could help you more than you realize.
If you're already planning to file bankruptcy anyway, there are circumstances in which a bankruptcy trustee can have access to your tax refund. You can actually prevent this from happening by using the tax refund to file bankruptcy.
If you're considering bankruptcy, our attorneys can help you determine how to cover the cost. We're happy to work with you on using your tax refund.
Castle Law Office has been handling bankruptcies for Kansas City clients from more than 14 years. If you need the fresh start bankruptcy can provide, call us today at 816-842-6200 to speak with an attorney. Or click here to email us and schedule your free consultation.