If you have found yourself mired in debt, bankruptcy can be an attractive option. Yes, you can write off assets and credit, but you will also have the opportunity to reduce your debt and get relief from harassing calls from creditors. Some people attempt to file bankruptcy without the help of an attorney. However, there are several excellent reasons why you should hire a bankruptcy attorney.
The Regulation Are Complex
First, there are three types of bankruptcy regulations that include bankruptcy law for individuals, noted in Chapter 7 and Chapter 13, for businesses noted in Chapter 11, and for farm owners, noted in Chapter 12. Too many people attempt to act on their end up in the wrong chapter, resulting in the loss of valuable assets or, in the case of some vital loans, failure to obtain a discharge. A bankruptcy attorney will be able to advise you on the type of chapter and will also be able to inform you of the potential tax implications and loss of power you may face. For example, will your home and car be preserved in bankruptcy or will you be able to keep them? A bankruptcy attorney can help you exempt certain assets, such as your home, from being taken. No one other than an attorney is authorized to give you legal advice. If you try to do everything yourself, you will have a hard time getting answers.
The Forms Are Complicated
Perhaps you have tried filling out a legal form? It isn’t effortless. There can be about 20 types of documents to file. Chapter 11 bankruptcies for businesses are incredibly complex. A bankruptcy attorney can show you how to fill out the forms or even fill them out for you. Anything you say on a bankruptcy form is punishable by perjury. It is serious business.
The Process Is Long and Complex
If you go to bankruptcy court on your own, you are responsible for educating yourself on the proper procedures. What kind of files should you file? Where do they post the forms? How quickly should he document them? Perhaps you have met all the eligibility requirements? Yes, you will. Even bankruptcy cases filed are often dismissed due to clerical errors: failure to file the correct forms by the right deadline, failure to file documentation, failure to file as an alternative to resolving an impossible tax mess. While this is by no means an easy process, it will be much more comfortable with an attorney on your side.