When resolving issues with onerous debt or business finances, many Americans are now turning to the legal remedies afforded to them through federal bankruptcy law. But this legal area is exceptionally complex. And it’s an area in which one mistake in completing a form or filing a petition can have lasting negative consequences for many years ahead. Working with a qualified bankruptcy lawyer can help in mitigating the challenges innate to the filing process. But many still wonder how exactly a specialist can help with their particular case. The role of a bankruptcy lawyer involves the following:
1) Deciding on Chapter of Bankruptcy to File
There are different chapters of bankruptcy that Americans can file under the law. The most common are chapter 13 and chapter 7 filings, which each treat the areas of debt and property differently, and therefore have different legal mechanisms by which to process claims. A qualified bankruptcy lawyer will be able to explain the differences between the various chapters of bankruptcy, and help clients make the decision based on a comprehensive understanding of all the factors involved.
2) Collecting and Preparing Documentation
Bankruptcy filing requires those declaring bankruptcy to submit anarray of information regarding their financial status. The rules regarding submission are complex and depend largely upon the type of bankruptcy filing the person is completing. When filing without adequate legal representation, many file the wrong documents and make mistakes in the information they provide. For example, chapter 7 and chapter 13 bankruptcies allow for specific property exemptions. Only a qualified bankruptcy lawyer will be able to discern which properties are exempt from the proceedings and which should be included. Mistakes in choosing a property exemption can reduce the benefits of bankruptcy proceedings almost completely.
3) Responding to Creditor Challenges
In some chapter 7 bankruptcy filings, the creditor may respond and challenge the discharge of the person’s debt within their legal rights. They may claim that the person has committed fraud or some other type of financial crime that might limit the progress of a bankruptcy claim. Creditor complaints or motions require the person to respond quickly and professionally within the legal framework. And it’s for this reason that having access to a bankruptcy lawyer is essential within the legal process. A lawyer can help the person fight the claim from the creditor and provide them with a full understanding of their options in regards to counter measures.
Working with a bankruptcy lawyer not only provides those with challenging financial issues the opportunity to ensure success within their filings, but it also provides peace-of-mind throughout the process. To speak with a bankruptcy lawyer in your area, contact William D. Schroeder Jr. today.