Many individuals shy away from hiring a lawyer for support in legal matters. This aspect may have many reasons, but is usually multiplied in case of bankruptcy. But, here in this post, you will be able to find out 5 reasons why is it important to have a good attorney on your side while filing for bankruptcy. These tips will certainly enhance your bankruptcy information, and help you make a better decision.
Knowing what type of options you have in terms of bankruptcy declaration is crucial. Consumers often have some different options available for bankruptcy filing. These options are generally Chapter 7 and Chapter 13. Both of these options have a different set of criteria that should be followed. An important part of these criteria is means test, which determines if Chapter 13 is available to the consumer. When you have complete bankruptcy information, you are more likely to make an efficient, more informed decision concerning your bankruptcy filing.
You must understand the fact that creditors are in the business to ensure that they are paid what they are owed. These financial organizations typically have competent and professional legal representation to make sure that they manage to get every last penny they can, within the law. If you choose to represent your case yourself, you can easily end up losing assets that could, otherwise, have been protected. Bankruptcy lawyers are professionals who know how to protect their clients and help you keep your assets that are fully protected under law.
When you have legal assistance of a licensed attorney, Chapter 13 bankruptcy would enable you to pay less in settlement than if you tried to represent yourself. This is simply because of the fact that a licensed attorney will know the know the level of protection you, as a debtor, are provided under law and will certainly push for protections that you may, otherwise, have not known were made available to you, without proper legal representation.
In the Chapter 13 bankruptcy filing, a repayment plan is submitted to the trustee and the judge, basic purpose of which is to make sure that the creditors receive a maximum dollar amount from the debtor. This repayment plan has to be approved by all the parties before the filing is accepted. When you do such type of filing yourself, you can get yourself exposed to now knowing your loose ends and getting filing not approved. A lawyer will be well aware of the law involved and the relevant exemptions available to ensure that your plan is approved with minimum dollar amount owed by you.
Receiving frequent collection calls from your creditors could be extremely irritating. Creditors will employ all the possible means under law to get their money. This kind of effort usually involves a collection agency hired to collect debts. They will make several calls until they get what they are due. With that said when you file for bankruptcy, all collection calls should stop. A bankruptcy lawyer will typically get this done quicker, so you can have this burden lifted off your shoulders sooner. However, you must be careful as to which lawyer you choose for bankruptcy filing.