Looking for a hobby that makes money because you’re thinking about declaring bankruptcy? The process of bankruptcy can be confusing, and deciding whether or not to get a lawyer to declare bankruptcy can also be confusing. Lets see if we can shed some light on making that choice. Bankruptcy can be a very emotional experience if you don’t know the process. It can be frightening and the paperwork taxing. Hiring a bankruptcy lawyer can take the stress out of the process. The other factor to consider is the paperwork. The accuracy of filing these documents is important because there are various fees associated when any amendments have to be made.
Even though the federal bankruptcy laws are in effect, each state has a different threshold for which type of bankruptcy a person can file. This is determined by income and the number of individuals in the household. Chapter 7 is a full termination of debt, this means after your case is final, all qualified debt is discharged. Chapter 13 is a repayment plan dictated by the court. The plan calls for a reduced payment structure that takes place for 5 years, after which the outstanding debt is discharged.
A lawyer can sort this out for you and tell you which chapter you qualify for, and how to declare bankruptcy. There are also other conditions you must submit to in the case of a chapter 13 bankruptcy, and lawyer can guide you through these processes. There are paralegals that will help you fill out the paperwork and even file your papers when you declare bankruptcy. The fees are a bit lower than a lawyer, but most of the time their service ends there. A bankruptcy lawyer will accompany you to the hearing and guide you through the entire process.
The one thing that you should do is interview 3-4 bankruptcy lawyers. The initial consultations are free, if you know some of the answers to the questions upfront you can better judge the integrity of the lawyer. A lawyer who primarily does bankruptcies can save you a lot of time and frustration because they have the staff to do this efficiently. They also have software that checks for errors you might not catch if you do it yourself. Looking at the whole process, you should definitely consider using a lawyer to declare bankruptcy for the above reasons, and remember…they are working for you.
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