When a person files for bankruptcy and does not work with an attorney it is referred to as “pro se.” It is legal to do so but we highly recommend that you do not do it on your own. We are not offering this advice just because we are in this business but because it is nearly impossible for a layperson to file Chapter 7 bankruptcy and protect their own interests. Read on to learn five reasons this is true and then reach out to The Law Offices of Paul Y. Lee at 951-755-1000 for a free bankruptcy consultation.
- Chapter 7 may not be the best option
- You could be punished for even a simple mistake on your paperwork
- You could lose property you are entitled to keep
- You will not have the expertise to defend yourself against creditors
- It typically costs more to file bankruptcy on your own than to file with an attorney
If you are in serious debt then we understand that now may be the time to take action. That said, this does not mean that Chapter 7 is automatically the best option for you. It is designed for people who have few assets and minimal income. It is not a good method to prevent foreclosure and it is generally not a good option for a person with high income. Other options may be better, including Chapter 13 bankruptcy but also options like mortgage modification or debt consolidation.
When a bankruptcy petition is prepared, it creates a record that you are filing for bankruptcy. You must then submit dozens of various supporting documents that show your creditors, debts, assets, etc. A single error, or leaving one thing out, could result in serious delays in your case. In fact, the court could potentially dismiss the case altogether. This could put your home at risk for foreclosure, could result in wage garnishment, and could cause a host of other issues.
In a Chapter 7 bankruptcy court, a trustee is authorized to sell some of your property. The money made is then set aside to repay your creditors and in the end, most of your debts are eliminated. However, there are what are known as “exemptions,” which, if filed correctly can prevent you from having your property sold. Without the experience of a bankruptcy attorney, you may not know what exemptions should be made.
One uncooperative creditor can cause a serious issue for your Chapter 7 bankruptcy. They may try to lift an automatic stay, they may be aggressive, or they may simply not follow the rules. In this event, you need a bankruptcy attorney who knows how to defend you against these attacks.
Of course, the main reason people elect not to hire an attorney to file bankruptcy is because they are not sure how they will pay for it. First, know that you will likely end up paying more in the long run without an attorney. Second, know that we understand you are not in the best financial situation and we will work to find a payment plan that works for you. Contact The Law Offices of Paul Y. Lee at 951-755-1000 for your free legal consultation.
