As a law firm, we encourage you to call us to learn more about our bankruptcy services and how we can assist you in navigating through what can be an incredibly challenging time of life. It is all too easy for families and individuals to end up in a situation where they are financially strapped to the point of being unable to keep up with monthly bills. Credit card debt can mount, unexpected medical bills can arise, layoffs, school debt, you name it — all of these situations and more can create a situation where bankruptcy may be the only way to financially recover. In this case, you have some important decisions to make, including the type of bankruptcy to file and whether or not to hire an attorney or go it on your own. With that in mind, here are a few things for you to consider.
DIY Bankruptcy
The biggest advantage to filing a bankruptcy on your own is that you will save money by not having to pay legal fees. However, that is where the advantages end. If you try to do this on your own, you need to be certain that you are selecting the right type of bankruptcy and to feel confident that you are not risking your family’s assets by not seeking legal assistance. For example, if you do not own a home or any vehicles and you don’t have any retirement funds or savings to speak of, then you may not need an attorney. Essentially, filing your own bankruptcy may be an option for someone who is renting and does not own property but has mountains of credit card debt. For everyone else, it is in your best interest to hire an attorney.
Professional Bankruptcy Services
As a law firm, we can help our clients protect their assets. Just because you are filing for bankruptcy, that does not mean you want to lose your home, cars, or personal property. When you work with a lawyer, it is unlikely that you will, because we know how to protect your assets. Depending on the type of bankruptcy, you may have to liquidate some of your assets; however, this is becoming increasingly rare. Simultaneously, if you want to keep your home or any of your vehicles, you will have to go through the reaffirmation process. This is something most people are unaware of, and if you try to file a bankruptcy yourself, you could miss this critical step and thereby lose your assets. You should also know that by filing bankruptcy, you will have a creditors’ meeting where creditors will be able to make their case before the trustee in opposition to your filing. Without legal representation, this experience can be overwhelming and intimidating, especially considering the fact that your creditors will be represented by an attorney. For this and many reasons, it is in your best interest to work with a professional.
Types of Bankruptcies
One of our bankruptcy services is to help our clients understand which type of bankruptcy filing will best meet their needs. The most common for individuals and couples is either Chapter 13 or Chapter 7. Chapter 13 is a reorganization bankruptcy that allows you to pay back your creditors a portion of what you owe over a period of time. Chapter 7 is a liquidation bankruptcy where you may have to sell some of your assets in order to pay back creditors and then any remaining debts may be wiped out. We can discuss both options with you and help you determine which type of filing will work best for you today and in the long term.
If you are considering filing for bankruptcy, call our office and schedule a consultation to learn more about our bankruptcy services and the options available to you.