It’s estimated that up to 1 million Americans could be too cash-strapped to pay the legal fees of hiring a bankruptcy attorney as they file for bankruptcy. With average costs hovering around $1,500, more and more consumers are considering tackling a Texas bankruptcy on their own. However, this could be one of the most expensive mistakes they can make during the bankruptcy process. While the cost of hiring a bankruptcy attorney might not be comfortable, it’s a negligible price to pay in view of the benefits received.
Don’t Tackle It Alone
With bankruptcy laws changing in 2005, it’s more complicated than ever to successfully file for bankruptcy alone. Whether you’re filing for a Chapter 7 or Chapter 13 case, the terrain is difficult to navigate. The bankruptcy process often includes credit counseling, the means test, a debt management course, and then the petition for bankruptcy itself.
While you can file for bankruptcy without an attorney to save money, most financial experts don’t recommend it. You could actually lose more money than the money you save by not hiring a bankruptcy lawyer. For instance, you might accidentally neglect to list all your qualified debts, make a filing mistake, or unintentionally prefer one creditor to another, thereby damaging your case.
- You save resources. Whether it’s time or money, an attorney will make the bankruptcy process more efficient and ensure that it covers your financial profile fully. You can rest assured that every piece of documentation will be filled out accurately and promptly.
- You receive advice. A good lawyer guiding you through the bankruptcy process doesn’t only work with you legally, but also provides sound financial advice to help you recover. A lawyer should be passionate about helping you solve any debt problems, even those that can’t be discharged through bankruptcy.
- Preparation. There are certain things that you must do during the bankruptcy process, such as attend the meeting of creditors. A good attorney will ensure you’re prepared.