Filing for bankruptcy is similar to pressing a financial reset button. You get a fresh start and get a chance to rebuild your financial standing. However, the bankruptcy process is certainly not a walk in the park. There are a lot of factors you have to consider before filing for bankruptcy protection in West Palm Beach, FL.
If you are thinking about filing for a bankruptcy protection, you will find the following 3 tips helpful in preparing your case.
1. Know the Different Types of Bankruptcy Protection
Before filing bankruptcy protection, you must know about the different types of bankruptcy chapter plans. There are three common types of bankruptcy plan that you can choose. Chapter 7 bankruptcy protection plan allows you to get relief from all the debts.
This option is best for people whose debt obligations are much higher as compared to their income. They cannot come up with a payment plan after meeting their basic expenses.
Chapter 11 protection plan allows reorganization of debts to allow the debts to be paid over an extended time period. The third bankruptcy protection is Chapter 13 that allows the person to come up with a draft plan to repay part or all of the debts over a period of three to five years.
2. Choose a Professional Bankruptcy Attorney
You must select a professional bankruptcy attorney to fulfill legal requirements when filing for bankruptcy protection. It’s important that you perform a thorough background check before selecting a bankruptcy attorney.
Some of the questions that you should ask before selecting an attorney to help with your bankruptcy case include the following:
- What are the full range of services do you offer and the rates?
- Will you help in developing a bankruptcy plan?
- What are hidden charges and fees?
- What happens if I am not able to pay the fees?
- What are the qualifications, licenses of the legal advisors?
- How many years are the attorneys providing services related to bankruptcy protection?
- How will you keep information about me private and confidential?
3. Obtain Certificate of Pre-bankruptcy Counseling
The third important advice when filing for bankruptcy protection is to obtain pre-bankruptcy counseling. The counseling session should be obtained from an approved credit counseling organization. In the pre-bankruptcy counseling, you should obtain an evaluation of your personal finances, discuss the alternatives, and come up with a personal budget plan.
A typical session should last around one to one and an half hour and can take place on the phone, online, or face-to-face. After completing the pre-bankruptcy counseling you should obtain a certificate from a counseling organization. The certificate must be approved from the judicial district where you are filing for bankruptcy.
Final Words of Advice!
If you are considering filing for bankruptcy protection, you should get help from a professional bankruptcy attorney. The attorney will help you get relief from the hassles of preparing for a bankruptcy case. You will also know which bankruptcy protection plan is the best choice for you.
The Walker Law Firm offers professional and expert tips and advice relating to your bankruptcy cases. You can find out more about our legal advisers by visiting www.walkerlaw.net or calling 561.689.1512