Why a Lawyer Should Help You File Bankruptcy
It is possible for anyone to file a bankruptcy petition without legal assistance, but this is not necessarily a good personal decision. Bankruptcy is a very serious legal process, and there are restrictions on subsequent filings following the fact. Creditors are allowed input to the proceeding, and repayment plans are not always acceptable to both the creditors and the court. The need for an attorney can be lessened in certain Chapter 7 situations, but any detailed bankruptcy protection plan should always be prepared by an attorney because there are many specifics to the process that a novice debtor may not understand. Having legal counsel from a professional like Loris Law Firm bankruptcy law firm in Mobile preparing your petition is always the best method for ensuring your filing will be accepted.
Qualifying for the Right Chapter
Personal bankruptcy is usually a Chapter 7 or Chapter 13 petition, and Chapter 13 is only allowed when the petitioner is qualified. Chapter 7 is effectively a discharge of unsecured debt, but the magistrate can seize personal assets and sell them for proceeds to be given to the listed creditors. Knowing what to expect beforehand is always desirable, and an experienced bankruptcy attorney will understand how to position all assets for optimum protection. Chapter 13 is effectively a repayment plan that allows the petitioner five to seven years to make account payments current at the end of the repayment schedule. Meeting the means test requirements is vital for Chapter 13.
Understanding Exemptions
Both federal and state law can apply in a bankruptcy proceeding. Your bankruptcy attorney will know these exemptions prior to the filing, and they can help craft the best repayment plan available as well as protect the most private property. Chapter 13 is usually filed in order to stop a real estate repossession, and an attorney can also negotiate arrangements with certain creditors to exclude them from the process as well as standard exemptions.
Contact a Bankruptcy Law Firm in Mobile AL
Never attempt handling a bankruptcy petition personally. It is always best to file after retaining an experienced bankruptcy attorney Satsuma like Loris Law Firm for a successful outcome with the most benefit.