Filing for bankruptcy can be complicated and stressful, especially when you are not well acquainted with bankruptcy law. Rather than struggling to absorb all the ins and outs of the law so that you can represent yourself when filing for bankruptcy, you can simply hire a bankruptcy attorney. This is the best way to make sure that the process goes smoothly and prevent costly mistakes from being made. Additionally, you will enjoy these 5 key benefits of hiring an attorney for your bankruptcy proceedings:
Maximum Debt Relief
Your bankruptcy attorney will help you choose the correct type of bankruptcy (Chapter 7 or 13) to file in order to secure maximum debt relief. Your attorney will do this by going over all your debts and obligations with you and also listening to your needs and goals for your financial future.
Help with Means Testing
In order to qualify for either type of bankruptcy, you must pass the corresponding California means test. Your attorney can walk you through this process and make sure that all the calculations are done properly to give an accurate result.
Exemption Guidance
Some types of property can be exempted from liquidation during a bankruptcy. Of course there are plenty of rules and restrictions involved in identifying and claiming your exemptions. In California, you even have to choose between two different sets of exemptions. Consulting an attorney is the best way to ensure that you choose the right exemptions and distribute them wisely.
No More Debt Collectors
Another benefit of hiring a lawyer for your bankruptcy proceedings is the fact that it will free you from harassment by debt collectors. As soon as you hire a lawyer and notify your debt collectors of this fact, they must direct all their communications to your lawyer. This means that you can escape their attentions even before the bankruptcy is finalized.
Pay Court Costs from the Settlement
In some cases, you can actually pay your attorney fees and court costs as part of the settlement of your bankruptcy filing. This is a big advantage over handling the process yourself and paying all the costs out of pocket.
As you can see, hiring an experienced bankruptcy attorney offers plenty of benefits. Often, the value of the assets they help you shield from liquidation far exceeds their attorney fees, making hiring a bankruptcy attorney a solid investment in your future.
