There are times when you may feel as though you need to consult a bankruptcy attorney. Make sure to ask the right questions to know if this is the best option.
Making the decision to seek help from a bankruptcy attorney is a big one. There is some good news,
though. An initial consultation will cost you nothing. You will learn a great deal in these meetings, though. You will learn what your options are and what your limitations may be. You will even find out if this is an option to consider to get out of the financial debt you are facing. For some, the decision to move forward will be based on what this lawyer tells them.
What You Should Ask
In general, a bankruptcy attorney will set up an initial meeting to discuss your case with you fully. At that point, he or she will work through the process with you to determine what your options are. This meeting is an excellent time to ask every question you have about the process. Some of the questions you may have include the following.
- Do you qualify for Chapter 7? In this form, the debt is discharged, which means you do not have to repay the debt at all. It applies to most types of debts.
- Do you quality for Chapter 13? In this form, the debt is reorganized to allow you to pay it back over a period of three to five years based on your income and expenses.
- Which form is right for your situation? This is often dependent on the outcome of a Means Test, which determines if you qualify for full discharge based on income.
- How long will it take to process this procedure if you go forward? In most cases, an attorney can ready the case within a few weeks and the process takes two months or more in court.
- What will it cost? Costs often involve fees charged by the lawyer as well as costs associated with filing fees the court requires.
- Will you need to appear in court? In most cases, you will need to come in for the Creditor's Meeting, an opportunity for creditors to confront you about your debt.
- Will you lose your assets? This will depend on what is protected under state laws as well as what amount of value those assets hold, what type of bankruptcy you pursue and the court's ruling.
- What will happen to your credit report? This will remain on your report for up to ten years, during which you will find it harder to obtain additional loans.
- Will anyone know? Although it is a form of public record, in most cases, unless you tell people about it, no one will know you filed.
- Should you go ahead with this process? Your attorney can answer this for you based on the information you provide.
A bankruptcy attorney is the resource you need to get your questions answered. Schedule a meeting to find out what your options are.
