Patience Is a Virtue When Dealing With Your Bankruptcy Attorney

When a person is filing bankruptcy, their whole world seems like it’s going upside down. The only focus they have is on getting that bankruptcy discharge and getting the creditors off their back. During these stressful times many people continuously call their bankruptcy attorney with problems or to ask stupid questions. While they don’t believe the questions are stupid, in the big scheme of things they are wasting the time of the attorney. Overbearing clients can cause a rift between the bankruptcy attorney, the law office staff and the client.

The attorney knows the timeline that needs to be to get a successful bankruptcy discharge and usually is on top of things. It is best to let the attorney do their job and not bother them unless you are being harassed by creditors. If the bankruptcy has already filed and creditors are continuing to call, the individuals should call the bankruptcy attorney and make them aware of the automatic stay violations. Most of the time, a staff member from the law office will call the creditor and make them aware of the bankruptcy filing. This usually will stop them from calling.

Because of the relationship and the time frame it takes to file bankruptcy, it’s important that people need to take the time to look for a bankruptcy attorney that they get along well with. The entire process of filing Chapter 7 bankruptcy takes about 4 to 6 months of someone’s life. Because someone’s life is turned upside down, they are very hypersensitive during this time frame. If the person filing for bankruptcy finds an attorney they trust, they will be able to chill out and let the attorney do their job. If there is no trust or relationship there, the individual will try and micromanage the law office making everybody mad. This is not the way to have a successful bankruptcy filing. When someone becomes a problem, typically, the bankruptcy attorney will stop calling the individual back and the fight will be on. The old statement, patience is a virtue should be taken to heart because this process doesn’t happen overnight.

My personal belief is hiring a bankruptcy attorney should be looked at the same as putting a sports team together. If all the members don’t work together successfully, the outcome will be shown in the results. There will be important items that might slip through the cracks because the dynamic of the relationship has gone south. In today’s complicated legal system it is much better to rely on the expertise of a bankruptcy attorney then trying to go it alone. Try to keep in mind at all times the reason of why the attorney was hired in the first place.

What Can You Expect From a Good Bankruptcy Attorney?

If you have filed for bankruptcy or you’re thinking about it, it’s a good idea to obtain the services of a bankruptcy attorney. A bankruptcy attorney can help you wend your way through the legal ramifications of a bankruptcy because he or she will have knowledge you may not have.

You can do some of your bankruptcy work yourself, it still helps significantly to have a bankruptcy attorney look over your documentation and make sure everything is in order before you file. You also need to know your rights as someone who is filing for bankruptcy, and an attorney can help you make sure that you get all of your rights met and keep whatever you’re entitled to as well.

In addition, a qualified, experienced and knowledgeable bankruptcy attorney is going to have many insights you do not have. For example, they can make suggestions or recommendations as to what other options you may have which may be much better for you than facing the long-term negative effects of bankruptcy.

Bankruptcy laws have changed in the last few years, so that today, it’s harder to file for what’s called “Chapter 7” or liquidation bankruptcy than it used to be. Chapter 7 bankruptcy is basically what used to be called “straight bankruptcy.” With this, those who file for bankruptcy turn over any nonexempt assets for liquidation to creditors, and then debts are paid off with these liquidated assets. When the proceedings are over, the debtor is completely exempt from further pursuit by creditors and the debt is completely discharged. A bankruptcy attorney can tell you whether or not you qualify for this particular type of bankruptcy. If you do, it’s generally advised that you take advantage of this type of bankruptcy, since it will exempt you from any further responsibility for these debts once the bankruptcy is complete. However, be advised that you will lose nonexempt assets for liquidation, including perhaps your house. Therefore, the pros are that you are completely “forgiven” your debts, but you may have to start from scratch.

Also you need to be aware that there are certain types of debts such as tax liens, student loans, child support and others that cannot be discharged by any form of bankruptcy, so if this type of debt makes up a major portion of your indebtedness, declaring bankruptcy is not going to help you in the least.

Chapter 13 bankruptcy is the other major type of bankruptcy that most debtors look to file for today. With new bankruptcy laws, most states will not let you file for Chapter 7 bankruptcy if you have a regular income. What this type of bankruptcy says is that you’re not going to be forgiven your debts. Instead, Chapter 13 bankruptcy is what is known as “reorganization” bankruptcy for debtors with an income. With this, you are allowed to keep most assets, including your house in most cases. However, you’re going to have to make payments to your creditors through a trustee over a period of several years, usually, until the debt is paid off. A plan is drawn up for the repayment and then a court approves or disapproves of it, based upon whether or not it meets bankruptcy code requirements for confirmation.

Again, obtaining a bankruptcy attorney is a good idea to help you determine what type of bankruptcy you qualify for and which is best for you. Be advised, though, that bankruptcy attorneys aren’t free and even if you are facing financial hardship, you’re still going to have to come up with attorneys’ fees of roughly several hundred dollars to have a bankruptcy attorney handle your matter for you. Still, it’s money well spent so that you know you’ve done everything you can to make your bankruptcy proceedings go as smoothly as possible. After that, of course, you can get on with your life. Most people who file discover that they have saved much more than the amount of the attorney’s fees in terms of the money and assets they were able to retain, based on the attorney’s intimate knowledge of the new bankruptcy laws.

Various Options for Bankruptcy Attorney Fee

Bankruptcy is not just a problem but a big problem, something that has the power to destroy your life, career, home and relationships. If you are under the threat of this powerful demon then without wasting any further time you should hire yourself a bankruptcy attorney. Why would hiring an attorney help your situation? Well, first of all the attorney is the only person in the whole wide world that can come to your rescue, he or she will explain to you what kind of bankruptcy you need to declare whether its chapter 7 or 13 and how much water you are in. What is chapter 7 and 13 bankruptcy? Chapter 7 bankruptcy also known as straight liquidation bankruptcy; it is your best solution when you are under the burden of dis-chargeable debts like Credit Card debt, medical bills, business debt, unsecured loans etc. Chapter 13 bankruptcy provides you with a chance to work out a debt relief plan, allowing you to pay your debt in installments; this kind of bankruptcy should be considered if you are far behind your debt payments or own valuable property that is not exempt.

These are the most common kinds of problems that the people of today face, inflation has made everything so expensive that people are left with no choice but to borrow and then fulfill their basic needs. A good bankruptcy attorney can handle this kind of situation very smoothly, with the declaration of chapter 7 or 13 bankruptcy your attorney would help you liquidate all your non exempt property and use the cash from this sale to pay off creditors ( as much of the debt that can be paid off with the receipts of the sale). It is the best course of action for people who are expecting financial problems as it allows you to keep all your exempt property. The bankruptcy attorney fee depends upon how complicated the situation is, if the problem is small naturally less effort is required to solve it therefore the bankruptcy attorney fee would be less too but on the other hand if the problem is very complicated and difficult more effort and time will be put in by the attorney and that means a higher fee.

The bankruptcy attorney fee also depends upon the system that the lawyer follows; some attorney opt for an hourly wage rate while others take a flat fee at beginning of the case, some attorneys even ask for a certain percentage in advance while the remaining at the end of the case. So there are several options available for you to choose from, you can take up the one that is most suitable for you and fits your budget. Some bankruptcy attorneys provide the option of working in your required budget, they have a detailed discussion with you regarding the case and your budget and if it is suitable for them they agree to take your case otherwise they don’t.

I believe this kind of bankruptcy attorney fee is most convenient, one has a fair idea how much he or she will be spending and so one can plan accordingly. However a little piece of advice; don’t be stingy on the bankruptcy attorney fee because the attorney is the only person who can save you from bankruptcy problems so you should give him ample room to work out a perfect strategy for you without bounding him with budget restrictions. Hopefully this article would have served its purpose of providing you with good information regarding attorney fee and various options around it.