What Is A Bankruptcy Lawyer?
What do bankruptcy lawyers do? You may be asking yourself this question if you’re considering filing for bankruptcy.
The best way to learn about a bankruptcy attorney’s services is to speak with one. They can review your case and explain how they may provide valuable assistance.
The following guide offers answers to several of your questions in the meantime. Keep reading to learn what types of services bankruptcy lawyers offer, what types of fee structures they use, and why you may benefit from hiring one.
What Is a Bankruptcy Lawyer?
What does a bankruptcy lawyer do? Although the specifics can vary on a firm-by-firm and client-by-client basis, a bankruptcy attorney is a professional who specializes in leveraging their understanding of bankruptcy law to offer financial advice to clients. A bankruptcy attorney can also complete the many tasks that filing for bankruptcy can involve on a client’s behalf.
All bankruptcy attorneys must have Juris Doctor degrees. A lawyer offering their services must also have passed their state’s bar exam.
Continuing education requirements and related licensing requirements for bankruptcy attorneys vary from one state to another. Generally, though, attorneys should strive to remain abreast of any relevant changes and developments in bankruptcy law that impact how they serve their clients. You may even ask about the topic of continuing education when meeting with a lawyer for the first time.
Why Do You Need a Bankruptcy Lawyer?
The process of filing for bankruptcy is often very complex. It may require you to:
- Learn about the differences between bankruptcy chapters (such as Chapter 7, Chapter 13, etc.)
- Complete thorough paperwork and submit a range of financial documents
- Research applicable federal and local laws that may impact your case
- Understand debtor’s rights and negotiate with creditors
- Attend court hearings and abide by court policies
Handling this process on your own may be a significant challenge. Luckily, you can hire a lawyer to assist you.
Services Offered by Bankruptcy Lawyers
Bankruptcy attorneys may offer a variety of services. Be sure to confirm the lawyer you’re thinking about hiring offers the specific services you need before signing any contracts.
Examples of common services bankruptcy lawyers offer include:
- Reviewing your financial situation to determine your best options
- Explaining what bankruptcy chapter you should file for
- Gathering your financial documents for a bankruptcy petition
- Ensuring you file your petition properly
- Defending your interests and resolving disputes with creditors in court if necessary
- Negotiating with creditors to settle your debt and establish repayment plans
- Protecting your property and assets to the degree that doing so is possible
- Filing for bankruptcy can seem stressful. It’s less so when an attorney assists with these tasks.
Cost and Fees
Different bankruptcy lawyers charge different fees. The types of fee structures and billing models bankruptcy lawyers most often use include the following:
- Retainer fees: Some bankruptcy lawyers charge retainer fees, which are essentially advance payments or downpayments for a lawyer’s services. Be aware that a retainer fee may not represent all the potential expenses associated with a case.
- Hourly rates: A lawyer may charge an hourly fee. If they do, make sure you have a proper understanding of the full amount of billable hours a lawyer or firm is likely to devote to your case.
- Flat fee: An attorney may simplify the fee structure for their clients by charging a flat fee. Although this can be convenient, you should still conduct research to be certain that a flat fee doesn’t result in you spending more than is necessary.
Confirm you thoroughly understand a bankruptcy attorney’s fees before you hire them. While you don’t want to jeopardize your case by hiring a lawyer who isn’t qualified to assist you, you also don’t want to add to your financial stress by hiring a lawyer you can’t afford.
When to Hire a Bankruptcy Lawyer
Knowing whether you should at least meet with a bankruptcy lawyer to discuss your situation and potential options is easier if you keep an eye out for certain warning signs. Indicators suggesting it may be a good time to start researching bankruptcy lawyers in your area include:
- You are facing overwhelming debt and can’t determine a strategy to get out of it other than filing for bankruptcy
- You are facing the threat of foreclosure on your home or repossession of certain valuable items (such as car)
- Creditors have been frequently harassing you
There’s little risk involved in meeting with a lawyer for bankruptcy. Many bankruptcy attorneys will review your case for free. Getting insights from a legal professional can help you better determine your ideal course of action.
How to Choose a Bankruptcy Lawyer
Finding the right attorney to handle your case isn’t necessarily as easy as Googling “best bankruptcy attorney near me.” Although the internet can help you begin the research process, you should also vet your options by checking client testimonials and asking the right questions during consultations.
Questions you may ask a bankruptcy attorney when meeting with them include:
- How have you helped clients in similar situations in the past?
- Do you think filing for bankruptcy will result in me clearing all my debt? Will I lose any possessions?
- What is your fee structure?
- How will you keep me updated regarding my case’s progress?
- How long should I expect the process of filing for bankruptcy to take?
Don’t worry if the process of finding a lawyer intimidates you. By taking our Free Case Evaluation right now, you may speak with a lawyer in your area who can help you today at no cost to you.
Bankruptcy Attorneys Play Valuable Roles
Filing for bankruptcy doesn’t need to be as overwhelming as it may seem. This task becomes much simpler and easier if you seek assistance from a professional who has experience representing clients like yourself.
Do you believe you may need to file for bankruptcy? If so, be aware that the sooner you begin working on your case with a lawyer, the better the odds you’ll achieve a desirable outcome. Get started today by taking the Free Case Evaluation to speak with an attorney about your situation.
