This type of lawyer helps you file for bankruptcy protection when you can pay back a percentage of your debts to creditors. A Chapter 13 attorney helps provide protection for eligible filers who have a consistent source of income each month.
These attorneys have the primary role of reorganizing your debts so that you can pay back a portion to your creditors. Because only certain individuals can qualify for Chapter 13 bankruptcy protection, it is important to meet with a bankruptcy lawyer to make sure you qualify. During this initial consultation, a lawyer will discuss your goals with the bankruptcy and how they relate to your overall financial goals. The lawyer should also discuss other debt relief options that may be available to you.
If you decide to file for bankruptcy protection with your Chapter 13 attorney, your creditors will begin calling your lawyer instead of you. You may still receive a call from creditors every now and again, it is common for them to cease calling after you hire your lawyer.
After the attorney is hired, he or she will complete your bankruptcy petition which lists all of your assets and creditors. This is a critical step, and one of the most important reasons to hire a bankruptcy lawyer for this process. They can assure that there are no mistakes with the petition, and once the signed version of the petition is filed, all of your creditors must legally stop collecting the debts.
About month after your attorney files the petition, the “341 Meeting of the Creditors” occurs. In preparation for this meeting, your attorney will talk with you about questions you may be asked and help you prepare for the appropriate answers. This preparation is one of the largest reasons to hire a Chapter 13 lawyer.
Your bankruptcy lawyer also has a high priority responsibility of negotiating and signing “reaffirmation agreements” on your secured property that you will like to keep. These agreements acts as a new contract filed with the court that helps you keep an existing contract with one of your creditors. Your lawyer, depending on where you live and your local bankruptcy rules, may appear in other court situations for you. There could be more documents needing filing for example, and your attorney must defend more motions that are filed during your Chapter 13 bankruptcy.
Because Chapter 13 can be much more complex than Chapter 7, the protection from Chapter 13 can sometimes provide more protection from creditors and additional relief from debt. A Chapter 13 attorney can help you through the process, especially since if you try to file for bankruptcy on your own, the judge can request that you actually hire an attorney. It can save you time and frustration by starting with an attorney right away.