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Do I Need A Bankruptcy Attorney?

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If you're considering filing for bankruptcy, you're likely wondering if you need to hire a bankruptcy attorney to help you file. While you do not legally require an attorney to file bankruptcy, working with one can greatly help you with the process.

What Exactly Does a Bankruptcy Attorney Do?

There are two types bankruptcy attorneys: commercial and consumer. A commercial bankruptcy attorney will handle filing the bankruptcy of a business, while a consumer attorney handles the bankruptcy of an individual.

A commercial bankruptcy attorney will help safeguard your business from creditors while you are working through the bankruptcy process. A consumer bankruptcy attorney does the same thing, except for a consumer, as the consumer is working through clearing their debts and setting up payment plans.

Do I Really Need a Bankruptcy Attorney?

If you experience any of the following issues, they are signs that you should work with a bankruptcy attorney to help handle your debts:

  • No cash flow
  • Regularly bouncing checks
  • Unrelenting calls from creditors
  • No idea how to handle the debt that's piling up
  • No representation in legal matters

If those issues describe what you're going through, bankruptcy may be the best option. However, it's a long and complicated process with plenty of paperwork involved. Working with an attorney greatly simplifies this process and will help protect your rights.

How Much Does a Bankruptcy Attorney Charge?

Money is tight, that's why you're considering bankruptcy. So, how much does a bankruptcy attorney charge? Typically, they will charge per hour and ask for a retainer. If you're unfamiliar with that term, a retainer is an upfront fee that is paid to the attorney and is put towards your total bill.

The rates you can expect to pay will depend greatly on the attorney that you work with. Ask in the very beginning how much they charge and don't be afraid to shop around for the right attorney in your price range.

What to Expect When Working with a Bankruptcy Attorney

When working with a skilled bankruptcy attorney, you can expect to have your debt erased, lowered or reorganized so that you can pay when able. An attorney knows how to navigate the system so that you receive the best possible outcome. The outcome will depend on your personal situation and the type of bankruptcy that you file. An ideal attorney will evaluate your situation carefully, then work to help you file bankruptcy.

Contact an attorney like Lazaro Carvajal for more information and assistance.