Bankruptcy Attorney

    A bankruptcy attorney is needed if you decide you need to file bankruptcy.  The bankruptcy attorney specializes in bankruptcy law and can advise you about your rights and obligations and whether bankruptcy filing is the way to go.  Under the new law, potential filers are required to seek the services of a credit counselor to ascertain whether or not they qualify for Chapter 7 bankruptcy.  There is now a means test for income and a method of valuation of assets that must be followed so people who could before qualify for a straight bankruptcy filing now cannot.  If they don't qualify for Chapter 7 bankruptcy they have to go the Chapter 13 bankruptcy route with rescheduling payments.

How a Bankruptcy Attorney Can Help

      A bankruptcy attorney can help you whether you are interested in a Chapter 7 bankruptcy or a Chapter 13 bankruptcy filing or if you are a business.  In a Chapter 7 bankruptcy filing, the debtor's assets are liquidated.  The proceeds of the liquidation are used to payoff creditors.  The remained of the debts subject to the filing are written off.  A bankruptcy attorney can help you determine which assets are and are not subject to liquidation or claims and which to protect and how, like your car and home.  He/she will also be able to help you with the credit counseling requirement.

      With a Chapter 13 bankruptcy filing the debtor pays of his debts over a period of five years.  The time and terms are re-negotiated with the creditors to allow the debtor to pay off the negotiated amount.  This is the kind of bankruptcy most people with steady incomes file under.  The bankruptcy attorney can help negotiate with creditors and keep the creditors from hounding you or filing against you.  He can help negotiate a repayment plan that discharges the balance of the debt once the debtor has fulfilled all of his obligations. A good bankruptcy attorney can also set things up so you are able to get a post bankruptcy auto loan and mortgage if needed.

Bankruptcy Attorney for Business

      If you are a business you will more often than not require the services of a bankruptcy attorney.  Chapter 11 bankruptcy, if you choose to file this way, requires a reorganization plan as well as plans negotiated with creditors.  These activities require specialists and take up a lot of time.  Law firms have specialists in these fields to assist you in this area.  Since the specialists know the law and know the ins and outs of the proceedings, it takes them much less time that it would take you to cover these details. A bankruptcy attorney is definitely the way to go.

      In conclusion, even though a bankruptcy attorney will charge a fee, they are well worth that fee.  They can help guide the debtor through the bankruptcy filings.  They can help deter and prevent garnishments, foreclosures and harassment.  They can help steer you through the ins and outs of the bankruptcy process in a way that is best for you.  Even though you can handle your own bankruptcy and save the fee, you are foolish if you do so. You need the specialized knowledge that can only be provided by a bankruptcy attorney.