Why Should I Hire an Attorney When Filing for Bankruptcy?

If you are thinking about filing for bankruptcy, chances are you have significant financial stress. This might lead you to question whether you really need to pay legal fees to have the help of a bankruptcy attorney during your case. The reality is that it is always a good idea to hire an attorney when filing for bankruptcy, and doing so can even save you resources in the end.

Making the Initial Decision to File

Sometimes, people make a snap decision to file for bankruptcy, as they believe it is the only option to resolve their debts. In other situations, people put off filing for bankruptcy much longer than they should due to misapprehensions about the process and its implications. One benefit of an experienced bankruptcy lawyer is that they can review your circumstances and advise you whether bankruptcy is the right choice for you.

In addition, they can provide guidance regarding the process and what to expect during and after your case. An attorney will advise you which type of bankruptcy case is right for you, so you do not waste time filing for the wrong type of case and having your matter dismissed, or you do not risk losing too much property in the process. 

Applying Exemptions in Chapter 7 Cases

If you decide to file for Chapter 7 bankruptcy, the law allows the bankruptcy trustee to seize and liquidate non-exempt property and assets in exchange for the discharge of your debts. The law provides exemptions to help you protect your property, but doing so can be confusing. 

An attorney can review all of your property and assets and best apply available exemptions. This ensures that you emerge from the bankruptcy process with as much of your property as possible. If you do not have the right legal guidance, you risk losing more than is necessary. Since improving your financial situation is the goal of a bankruptcy case, you should not risk giving up more assets and property than the law requires. 

Ensuring Your Chapter 13 Plan is Reasonable

If you decide to file for Chapter 13 bankruptcy, the process can be longer and more complex than Chapter 7. It is critical to have a skilled bankruptcy attorney advocating for you to make sure that your debt repayment plan is reasonable based on your income and financial situation. If you enter into a repayment plan with a monthly payment you cannot afford, you are asking for complications and delays in your case. If your financial circumstances change during your plan, your lawyer can petition for a lowered payment or other adjustments to help ensure you receive a successful discharge of your debts. 

Contact an Indiana Bankruptcy Lawyer for More Information

At Whitten & Whitten we know the benefits of hiring an Indiana bankruptcy attorney for your case, and we would be happy to discuss these benefits with you in detail and in the context of your specific situation. Contact us to set up an appointment today.