How To Claim Bankruptcy – The Info You Need
Sometimes, things happen in life that can affect our finances. Due to circumstances beyond your control, you may find yourself deeply in debt. You may also discover that there is no way that you will ever be able to pay off the debt that you owe.
In cases like this, filing bankruptcy may be the only way you can get your life back on track. Bankruptcy may seem like a simple process, but in reality, it is anything but simple. Unlike the claims made by the people on all of those infomercials you see on television, bankruptcy is actually a complex and somewhat costly process. In fact, the cost of filing a bankruptcy petition can amount to thousands of dollars if you file using an attorney.
Even though using an attorney can be expensive, some people decide to do so because the bankruptcy laws can be so confusing and complex. Since bankruptcy can be a stressful process, some people feel that the cost of using an attorney is well worth the money that will be spent in the process. An attorney can help you determine how to claim bankruptcy.
When you decide to declare or file for bankruptcy, you will need to decide between a Chapter 7 bankruptcy or a Chapter 13 bankruptcy. If you have an attorney, he or she can help you to understand the differences between the types of bankruptcies. If you have decided to file for bankruptcy by yourself, you will need to learn about the differences between a Chapter 7 and a Chapter 13 bankruptcy. After you have learned more, you will need to decide which Chapter is applicable to your situation.
Next, you will need to collect records to prove what assets and debts you have amassed. You will also need to prove your income amounts. All of this information will be used to determine if you are eligible to file for bankruptcy. In addition, there is also a $300 fee to file the paperwork with the bankruptcy court. Many attorneys include this fee in their overall price package, but you should check to be sure.
To find out more about the bankruptcy process, you should consult an attorney. Many attorneys offer free bankruptcy consultations for just this reason. Call your local Bar Association or check your phonebook to find out which attorneys in your area offer free consultations.
After you’ve consulted with an attorney and discovered that you are eligible to file for bankruptcy, you must choose an attorney to represent you in the filing process. Do not feel obligated to choose an attorney simply because he or she offers free consultations! It is important to research a number of attorneys before choosing just one. Choose an attorney who has a good professional reputation and reasonable filing fees.