what to expect from a bankruptcy attorney

by Elvera Heaney Published 2 years ago Updated 1 year ago 5 min read

What are my bankruptcy attorney’s responsibilities?

How do bankruptcy attorneys file bankruptcies?

Is my bankruptcy case difficult?

Feb 24, 2022 · If you hire a bankruptcy lawyer, here’s what to expect: A written agreement, or contract, between you and the lawyer. The agreement will likely include an overview of the lawyer’s work for you.

Do I need a bankruptcy lawyer or go pro se?

You can expect a good bankruptcy attorney to give you sound legal advice, handle all of your necessary paperwork and deadlines from start to finish, and to be understanding and compassionate. Most people feel a sense of reprieve once they have found a good bankruptcy attorney- and an even greater sense of relief when their bankruptcy process is resolved.

What do they look at for bankruptcy?

The trustee assigned to your case will look at your income and expenses and question you about your transactions. The trustee will request certain documents before your 341 meeting of creditors. Aside from your bank statements, the trustee will request 60 days of pay stubs and two years of tax returns.Dec 6, 2021

What gets forgiven in bankruptcy?

Chapter 7 Bankruptcy Discharge Wipes Out Most Debts Forever

credit card debt. medical bills. personal loans and other unsecured debt. unpaid utilities.Oct 20, 2020

What happens to your stuff when you file for bankruptcy?

Bankruptcy is intended to allow an unlucky but honest debtor to get a new financial start. When you file for bankruptcy, you will have to surrender all your assets to a trustee. Those assets are then converted into cash, and the money is used to pay your creditors.Jun 1, 2020

How long do bankruptcies take to settle?

“Normally, the process takes about four months,” Cibik said. “Once you file your Chapter 7 bankruptcy, the meeting of creditors with the Chapter 7 trustee is approximately 30-45 days later. Then, the court waits 60 days to see if any creditors object to your Chapter 7 bankruptcy.Feb 8, 2022

Does bankruptcy clear all debts?

What debts aren't affected? Declaring bankruptcy won't wipe out all debts and some types of debt will survive the bankruptcy. In other words, if you declare yourself bankrupt, you will still be required to pay: court-ordered penalties and fines.Mar 20, 2019

What debts are nondischargeable in bankruptcy?

What Is Nondischargeable Debt? Nondischargeable debt is a type of debt that cannot be eliminated through a bankruptcy proceeding. Such debts include, but are not limited to, student loans; most federal, state, and local taxes; money borrowed on a credit card to pay those taxes; and child support and alimony.

What is the downside of filing for bankruptcy?

Filing for bankruptcy can negatively impact your immediate financial future. Obtaining credit after filing for bankruptcy could mean increased interest rates. Obtaining credit after filing for bankruptcy might require security deposits.

Do you lose house in bankruptcy?

If you kept your house throughout the bankruptcy process, you are free to keep your home after the bankruptcy – as long as you continue to pay the mortgage. It may be that after you are free of all the rest of your debt you will be able to afford the mortgage payments easily. If so, you'll be able to keep your house.May 19, 2021

What are the 3 types of bankruptcies?

With that in mind, below are details about three main bankruptcy types.

Chapter 7 Bankruptcy. Chapter 7 is also referred to as a liquidation bankruptcy because it calls for most of the debtor's assets to be sold to pay creditors. ...
Chapter 13 Bankruptcy. ...
Chapter 11 Bankruptcy.

Feb 17, 2022

Can creditors collect after Chapter 7 is filed?

Debt collectors cannot try to collect on debts that were discharged in bankruptcy. Also, if you file for bankruptcy, debt collectors are not allowed to continue collection activities while the bankruptcy case is pending in court.Oct 25, 2017

How long after a Chapter 7 can I buy a house?

Mortgages. As previously stated, there is no waiting-time requirement before applying for a mortgage after you have been discharged from bankruptcy. However, the more time that has passed since your bankruptcy, and the better your current credit rating, the more likely that you will be approved for a mortgage.

Does Chapter 7 trustee check your bank account?

Your Chapter 7 bankruptcy trustee will likely check your bank accounts at least once during the process of overseeing your filing. They have a right to perform a full audit of your accounts or check them any time it is necessary. However, it is rare for them to keep close tabs on every account.

Using a Bankruptcy Attorney

It may feel counterintuitive to pay attorney's fees for help with your financial crisis. But professional assistance can mean the difference between a setback and a total loss when you have serious debt issues.

Choosing Your Attorney

You will want to meet with any attorney you consider hiring to see if you and the attorney can work together in general.

Questions Your Lawyer Will Ask About Bankruptcy

To do the best possible job on your behalf, your attorney needs your input and cooperation.

Documents Your Bankruptcy Attorney Needs

Once you hire an attorney to assist with your bankruptcy case, it is important to provide the information they need to best advise and represent you.

What does a bankruptcy attorney do?

You bankruptcy attorney will help you navigate the intricacies of the means test, will determine what exemption scheme is available to you and help you decide how to apply those exemptions. Your bankruptcy attorney will review your situation to identify any potential land mines, and should be there with you when you go to court, ...

Do bankruptcy lawyers charge more?

Well, yes and no. An experienced bankruptcy lawyer might charge you a higher fee than someone who has little or no experience. But he might save you a lot more money if he prevents a mistake, or identifies a potential problem, or a way to make bankruptcy relief more comprehensive. And that really is the bottom line.

Why hire a bankruptcy lawyer?

Though filing bankruptcy is a great way to get rid of debt, it is usually very stressful and therefore difficult to do without professional help. A bankruptcy attorney knows the latest legal procedures and requirements for applicants.

Make sure you have the right skill level

Most bankruptcy cases are considered relatively straightforward, but they can also get very complicated quickly. It all depends on your particular case. The difficulty of your case depends on:

Expect actionable legal advice

After signing the retainer contract, you can expect your lawyer to be on your side and get the best advice to show you what works and what doesn’t in your best interests. The lawyer should also instruct you on what:

Expect assistance with paperwork

Filing for bankruptcy involves a lot of paperwork. Fortunately, all professional attorneys have the knowledge and access to the software necessary to prepare and file bankruptcy documentation with the court. Expect your attorney to request your financial information, including:

Expect clarification on property processing

A professional attorney needs to be able to explain to you what specific assets are exempt and what needs to be sold after your bankruptcy chapter. It is important that you have realistic expectations and a clear understanding of what is happening without flooding your home with documentation.

Expect to be represented at hearings

The bankruptcy process always includes a mandate that can be assigned if your case requires it. You can expect your lawyer to represent you at the following hearings:

Expect deadlines to be met

Of course, hiring a lawyer doesn’t mean you can relax and let it all go, but a good lawyer will always remind you to get everything done on time. It is very important to avoid critical deadlines if you do not want to pay a fine or if you want to make the court suspicious of your case.

How to Get Ready for a Bankruptcy Meeting

You should gather all pertinent facts and paperwork in advance of your initial consultation with your bankruptcy lawyer. These documents will provide your attorney with a better understanding of your present financial condition and background.

What to expect from your bankruptcy attorney

Initial consultation: During the appointment, you may be requested to complete a form that requests some basic financial information. You should have some information ready to fill out this form, or at the very least discuss the case with your attorney. You should also let your lawyer know about the most pressing challenges you’re facing.