While it is legal to file for bankruptcy without a lawyer, doing so can end up costing you more in the long run. Inexperienced lawyers can make mistakes that cost you money.
For instance, they may undervalue your property or wrongly determine which debts get wiped out. They could also file your paperwork incorrectly, which can cause delays and lead to a dismissal of your case.
Experience
A good bankruptcy attorney like a Harrisburg bankruptcy lawyer will take the time to listen to your concerns and provide advice that’s in your best interest. They will also be able to explain complicated legalese in terms you can understand.
A bankruptcy case involves a lot of paperwork and deadlines. If you misfile an important document or turn it in past the deadline, it could hurt your case. A lawyer will make sure all paperwork is accurate and submitted on time.
Look for an attorney who specializes or devotes a significant portion of their practice to bankruptcy cases. Be wary of general practitioners who claim to handle a lot of bankruptcy cases; they may not be able to give each case the attention it needs. Check online reviews and testimonials, and choose an attorney who you feel comfortable working with.
Knowledge
Your bankruptcy lawyer should have a good understanding of the laws surrounding bankruptcy. They should be able to explain the various forms of bankruptcy and what benefits each form offers. They should also be able to tell you the right type of bankruptcy to file for your specific situation.
Bankruptcy attorneys should know how to value property and use the proper exemptions in a case. They should also be able to determine what debts will be eliminated in the process and which ones won’t.
They should be able to handle issues that may arise in the case such as negotiating a reaffirmation agreement or ensuring creditors comply with the automatic stay. Creativity is also an important skill to have in bankruptcy cases since there are many situations that can arise that require an imaginative solution.
Preparation
At your first meeting your attorney will need specific information about how much debt you owe and who you owe it to. They will also want to know about any assets you hope to keep. They will need to understand how to value these assets and use
your state’s exemption rules to protect them. They will also need to explain what debts get eliminated in bankruptcy and which must be reorganized.
They should also be able to tell you how long the process is expected to take and how often they will contact you with updates. This will help avoid surprises down the road. It is also a good idea to find out how they charge for their services. This will help you assess their honesty and expertise.
Time
Bankruptcy lawyers are familiar with the nuances and requirements of bankruptcy laws. A lawyer can make your case less stressful by eliminating the risk of simple mistakes like missing a deadline or filling out paperwork incorrectly.
The attorney will know how to value your assets, disclose and protect your property through the exemption system, and determine which debts can be discharged. The attorney will also be by your side during creditor meetings and in court.
Be sure to ask the bankruptcy lawyer what their total cost is up front, including their fees and any court costs. You do not want to be surprised down the road with hidden fees you didn’t expect. The bankruptcy attorney may also be able to negotiate with your creditors to settle your debts.
Money
There is a cost associated with hiring a bankruptcy attorney. However, a quality lawyer can provide valuable service in a very stressful time. In addition to helping you complete the paperwork, they can also help you value property correctly and choose and apply exemptions to keep as much of your property as possible. They can also help you work with mortgage lenders and explore alternative solutions such as mortgage modifications.
The bottom line is that consumers who use an attorney have a much higher chance of success in their bankruptcy than those who file pro se (on their own). If you can afford the services of a qualified attorney, it can make a significant difference in your outcome and ease your stress. This is well worth the expense in most cases.
