Why It Is A Good Idea To Hire A Bankruptcy Attorney
No one ever plans to file for bankruptcy in their adulthood, but sometimes it may be the best option due to unforeseen circumstances like loss of employment or medical emergencies. While many bankruptcy experts disagree on a lot of the fine details of this legal process, all of them are on agreement that it is vital to hire an attorney.
The sad fact is that, many people are filing for bankruptcy due huge debts that have piled over the years. Each State, more and more people are filing for bankruptcy with over 20,000 fillings registered annually. Sometimes in extreme cases, your driver license tickets can cause bankruptcy.
Bankruptcy affects many people annually and is nothing to be afraid (or ashamed) of. The truth of the matter is that, taking charge of one’s finances is the responsible thing to do because it gives one the opportunity to arrest their debts and change their life. Unfortunately, many residents of California are still holding on to the stubborn misconceptions that surround bankruptcy. This makes them hesitant to hire a bankruptcy lawyer or consider filing. If your financial problems were caused by an auto accident, you may also need to consult a good personal injury lawyer.
The Importance of Hiring California Bankruptcy-Attorneys
Complicated Legal Formalities
It is not recommended to file for bankruptcy without the help of an attorney. This is because of the complex legal procedures required. A lawyer will explain how the bankruptcy process works and whether it is a recommended step for their client. They will also explain all the financial and legal ramifications of this process and how it will affect their client in future. Filing affects a debtor’s credit making it difficult for them to obtain loans, get a job or find a house.
A lawyer explains to their clients which of their assets are exempt from liquidation when they file for Chapter 7. While it may be possible for one to file for either Chapter 13 or Chapter 7 pro se, it is not recommended. The reason being that, all pro se litigants have to familiarize themselves with the U.S. Bankruptcy Code, Federal Rules of Bankruptcy Procedures and all the rules of the local court that handles the case.
A single misstep may affect the rights of a debtor. Given that bankruptcy has long term legal and financial consequences, it is significant to hire the services of a legal expert who has studied this specific field of law and knows all its ins and outs.
Protection from Creditor Harassment
Filing for bankruptcy offers legal protection from constant harassment from creditors. This includes relentless debt collection attempts including phone calls, messages and emails. This causes victims to live in fear, anxiety, stress and embarrassment.
When one files for bankruptcy, they are immediately accorded legal protection called automatic stay. This freezes all collection attempts for as long as the bankruptcy process is in progress. It offers the debtor time to reorganize their resources and make proper financial arrangements for their future. As soon as one files the petition, all their creditors are notified and prohibited from continuing to make collection attempts. Other benefits accrued from the automatic stay include preventing foreclosures, service shut-offs, repossessions and wage garnishments.
Freedom from Debt
Statistics from the Federal Reserve reveal that debt is a key issue for many Americans. Bankruptcy offers a petitioner freedom from common debt types including credit card debt, utility bill debt, personal and business debt as well as medical bills. However, some debts cannot be discharged by filing for bankruptcy. These include child support, student loans and alimony. A really good lawyer can make sure you don’t have any debt regarding your accident.
Representation during Court Proceedings
Having a lawyer present during court proceedings is a good idea. This is because they will ensure that their client’s interests are protected. Court systems and the federal government usually have appointees referred to as trustees. These professionals primarily protect the interests of their client. An accident lawyer who cares can make all the difference in the results of your court proceedings.
Take Advantage of Free Consultation Services
If one feels that it is absolutely necessary to save on attorney fees, it is still recommended that they seek professional advice. Some attorneys offer free consultation services to the public in a bid to attract potential clients. By tapping into the experience and expertise of such attorneys, an individual will know where they stand and get a clear picture of what filing for bankruptcy will mean for them. Finding a car accident lawyer to get a free consultation is the best way to get to know the lawyer.
During consultation, it is important to ask relevant questions about bankruptcy and know everything there is to know about the filing process. Also ask about key issues that trustees look out for from debtors. This allows pro se litigants to prepare for their petition.
Issues to Consider when Hiring a Bankruptcy Attorney
Experience is an important quality to look out for in an attorney. This is because, an experienced lawyer is better able to navigate legal waters. They know what works and what does not because they have tried almost everything. They know all loopholes and have expertise in filing petitions. In addition, trustees are usually chosen from local bankruptcy attorneys. Therefore, one may be lucky to hire a lawyer who has gained experience from working as a trustee.
Chose a Professional who is Abreast with All the 2005 Code Changes
In 2005, the U.S. congress passed a bill called Bankruptcy Abuse Prevention and Consumer Protection Act. These changes were designed to prevent filers who attempt to use the system for their own personal benefit. These changes introduced mandatory credit counseling classes for all people seeking bankruptcy protection. It is unsettling to know that some seasoned lawyers are not abreast with all the changes that were made in 2005. Therefore, before hiring anyone, it is important to find out if they are updated on these changes.
Select a Lawyer Who Puts Their Client’s Interests First
When looking for a lawyer, it is advisable to avoid a practice that is notorious for finishing its cases with little regards for the well being of its clients. A good lawyer will take the time to study their client’s case and figure out the best course of action to follow.
Bankruptcy is a necessary course of action for individuals who are buried in debt and have little prospects of servicing their loans. Therefore, hiring a bankruptcy attorney is a good idea. They will be able to offer advice on the best course of action to follow and assist their client throughout the petition process.
Miami is well known for an expensive area with many traffic accidents. If your bankruptcy is linked to a car accident and you live in the Miami area. You should find an attorney to help you with your case.