Sometimes in your life, you face a financial crisis, and you do not have enough money to clear your previous debts. This time is tough, and you cannot find the way out of it alone. The lenders may take legal action against you and make things even worse for you. in this case, you can file for bankruptcy. It is a legal task that you may need help with; hence, you need a reliable Bankruptcy Attorney who will work in your favor. He will help you in legal action and get your financial status in shape.
What Is It Like Filing For Bankruptcy?
Filing for bankruptcy is legal. A person can initiate this process when he or his business cannot repay the outstanding debts. It is a small legal process that declares that the person has become bankrupt and may not be able to repay the debts for some time shortly.
Who Is A Bankruptcy Lawyer, And What Does He Do?
A Bankruptcy Attorney is a lawyer specializing in advising his client on bankruptcy. He takes care of everything from filing for bankruptcy to handling court proceedings.
He will guide you through the entire process. First of all, he will study your situation and will tell you whether you should file for bankruptcy or not. If you are filing for bankruptcy, he will decide on the type of bankruptcy you will file.
He will support you emotionally, too, until the case is going on. Upon this, he will also guide you, explain the entire process, and guide you from time to time.
With his experience and expertise, he will try to eliminate or reduce some debts.
What Are The Different Types Of Bankruptcy?
There are six different types of bankruptcies. It is a vast topic that an ordinary man can understand. The two most common bankruptcies filed in the court are Chapter 7 Bankruptcy and Chapter 13 Bankruptcy. Chapter 7 is called liquidation bankruptcy, whereas Chapter 13 is called a repayment plan.
If you file for chapter 7 bankruptcy, the court has all the rights to liquidate your assets. The court will appoint you with an officer who will help you liquidate your available assets example, your house or a car. While with chapter 13, you do not have to lose those things in the mortgage and will get a 3 to 5 years period to repay the debtor loan. But for that, you must submit your repayment plan to the court. If the court approves your project, you can proceed with the program.
According to your situation and your available documents and assets, your lawyer will suggest you file any one of the bankruptcies.
What Do You Need To Expect From A Bankruptcy Lawyer?
You can expect a lot of things from your bankruptcy lawyer. Here are some things that you can expect:
- Please Talk about the process with which he will handle your case
- Ask about his fee pattern
- Make a written agreement between you and your lawyer
- Discussion about the list of documents you will need during the entire case proceedings
When Do You Need A Bankruptcy Lawyer?
In court cases, it is legal that you can represent yourself in court. It is not compulsory to have a lawyer. But bankruptcy is that area of law section where there are different rules and regulations that an ordinary man cannot know. It could be more straightforward, and you will pay a considerable cost if you lose the case. For this, hiring a reliable and experienced bankruptcy lawyer will be wise. You will need a bankruptcy lawyer to file Chapter 7 Bankruptcy or Chapter 13 Bankruptcy.
You may need a bankruptcy lawyer for many reasons, one of which is a massive amount of paperwork. You need to arrange a lot of paperwork during each court hearing. It is not possible to do this, especially in this stressful time.
Second, it is an emotional, tiring phase when the respective lenders are constantly behind you for debt repayment. The bankruptcy lawyer can give you emotional support and track all the remaining debts so that you can handle the situation efficiently.
Bankruptcy is a very crucial phase of your life. You have to be strong and keep yourself calm during this period. Also, finding a reliable bankruptcy lawyer with experience in resolving similar cases is essential. Also, while finding a suitable lawyer, feel free to ask whether he has won any similar issues. But ensure that you share every detail of the case with your bankruptcy attorney so that he can help you with the best outcomes of the case.