“Bankruptcy” is a frightening term on its own, and filing for bankruptcy can be even more intimidating than it looks. Court statistics from September 2010 show that 1.6 million bankruptcy petitions were filed during the Great Recession. If you ever have to file for bankruptcy, you’ll need to keep quite a few things in mind regarding all the laws of bankruptcy.
Being somewhat familiar with these laws yourself will likely make the process of filing for bankruptcy much easier for you. Bankruptcy laws encompass both federal and state regulations and thus can become quite complicated to understand. To this point, you’ll probably need to rely on an experienced Chapter 7 bankruptcy lawyer, such as you can find at JPP Law in WIlkes-Barre, Pennsylvania, to file for bankruptcy. Now, let’s review some more detailed reasons why you will need a bankruptcy lawyer.
Assessing the Financial Situation
- A bankruptcy lawyer will be able to extensively examine all your finances to evaluate your current financial situation.
- The lawyer will advise as to whether you should even file for bankruptcy or not. Lawyers can present all possible scenarios for you.
- A bankruptcy lawyer will also give you all the details about your rights and responsibilities after filing for bankruptcy.
- The overall process of filing for bankruptcy is cumbersome and involves lots of paperwork.
- This paperwork maintenance can be a nuisance if you are doing it on your own, and chances are good that you will end up leaving something out of your financial matters.
- A bankruptcy lawyer will manage all of this and keep a record of it for future reference.
Counsel and Guidance
- Bankruptcy lawyers offer you all of their professional guidance and counsel when advising you on bankruptcy.
- This counsel is not available when you are filing for bankruptcy on your own, and hence it can lead to some mistakes. Bankruptcy lawyers know all the laws, processes, and other nuances that the layperson may not be aware of.
Protection from Creditors
- One of the most important things when you are filing for your bankruptcy is how your creditors will deal with you.
- It is often thought that creditors relentlessly trouble debtors until all the money is paid back. But your bankruptcy lawyer will guide you through the legal processes that are designed to keep creditors off your back while you repay the money you owe.
All in all, it is well worth your while to hire a Chapter 7 bankruptcy lawyer to help you file for bankruptcy. Lawyers know the ins and outs of the financial industry and will help you avoid mistakes when filing.
According to the American Bankruptcy Institute, lawyers got 96.2% of their clients discharged of their debts, while people who file for bankruptcy themselves got it done only 66.2% of the time. Let those statistics advise you on your next step.