With a good Chapter 7 lawyer, you can file appropriately and liquidate your assets, often releasing you from the debt bondage you may have found yourself trapped within.
This filing is available for both companies and individuals.
For companies, it is usually the last resort.
After filing, they are more or less done as a business.
With an individual, however, it has a different connotation.
It can mean leaving those prior mistakes and misfortunes behind and being given the freedom to turn over a new leaf.
Before you go looking for a Chapter 7 lawyer, you should first make sure you fall under the eligible category for the filing.
A good attorney can help you figure this out, but if you aren't anywhere close, you can save your time and money.
First of all, you need to understand that you will be compelled to attend credit counseling.
Furthermore, if you make more than the median amount for whichever state you live in, you will be subject to a further test to make sure you fit the bill.
This test will evaluate your disposable income, which is determined after looking at how much you bring in and subtracting necessary expenses such as rent and a car payment.
If you've been determined to be eligible for the filing, you can move forward by filing a petition in court.
This petition will be filled with information that a federal judge can peruse to determine whether or not to grant the bankruptcy.
This information will include your income, your expenses, bank statements, tax returns, and so forth.
It typically costs around $300 to file, although this will of course have to be weighed in conjunction with obtaining a Chapter 7 lawyer, if you choose to go this route.
While it's true that you can file without the assistance of a Chapter 7 lawyer, most experts recommend that you don't.
Legal requirements on filing for bankruptcy are stringent and complicated.
Without knowing a lot of the legalese and without any experience in compiling the information and paperwork, you will more than likely make some mistakes.
If there are mistakes, your petition for bankruptcy will be rejected and you'll have to start over from square one.
Considering that it can sometimes take several months for the court to make a ruling on your filing, you could be wasting many months of your time by not having legal representation.