Types Of Cases That A Bankruptcy Attorney Takes On

Bankruptcy can be a complicated and emotional process that involves various legal issues. Bankruptcy attorneys are legal professionals who specialize in bankruptcy law and can provide advice and guidance on various matters related to bankruptcy.

Here are some of the sorts of cases that a bankruptcy attorney takes on.

Chapter 7 Bankruptcy

Chapter 7 bankruptcy, alternatively called liquidation bankruptcy, is a form of bankruptcy that lets individuals and businesses discharge any unsecured debts that they have, such as credit card debt and medical bills. 

In a Chapter 7 bankruptcy case, a bankruptcy attorney can assist with the preparation and filing of the bankruptcy petition, represent the client at the creditors' meeting, and help to ensure that the bankruptcy process goes smoothly.

Chapter 13 Bankruptcy

Chapter 13 bankruptcy, or reorganization bankruptcy, is a form of bankruptcy through which individuals can use their regular income to reorganize debts. The bankruptcy ultimately results in a repayment plan. 

As with a Chapter 7, a bankruptcy attorney also handles preparing and filing all paperwork during a Chapter 13 bankruptcy. Because of Chapter 13's different purpose (to create a repayment plan), the attorney works closely with all parties involved to ensure that the plan is attainable, reasonable, and fair to all involved.

Business Bankruptcy

Business bankruptcy is a form of bankruptcy that permits businesses to reorganize or liquidate their assets to pay off their debts. While a business bankruptcy certainly involves filing forms and documents, it also involves in-person (or virtual) meetings with creditors. A bankruptcy attorney will represent their client at these meetings.

Foreclosure Defense

Foreclosure defense is a legal process that permits homeowners to challenge a foreclosure and try to keep their homes. A homeowner may try to contest foreclosure of their house, usually by renegotiating the terms of their loan.

Any loan negotiations should be handled by a bankruptcy attorney who's knowledgeable in these matters. An attorney will be familiar with the legal protocol that must be filed, as well as how to negotiate the best possible new terms for their client.

Debt Settlement

Debt settlement is a process in which a debtor negotiates with their creditors to settle their debts for less than what is owed. While it's not necessary to be an attorney to negotiate debt settlements, a bankruptcy attorney will be a stronger negotiator because they have legal knowledge specific to these matters.

Creditor Harassment

Sometimes bankruptcy attorneys may also assist clients who are experiencing harassment from creditors, including phone calls, letters, and legal action. Hiring an attorney to counter these actions can greatly reduce the stress that an individual feels.