Bankruptcy is a last resort for individuals who have no clear way of paying off their debt. It is great for the short term, but can cause serious long term effects, like destroying a credit rating for ten years and making the individual ineligible for many loans. Before filing for bankruptcy, it is good to get information from a debt relief lawyer. They will assist the individual through the process, including what to file and how it works.
Bankruptcy deals a lot with laws, many that individuals do not quite understand. For example, lawyers are equipped with the necessary information regarding bankruptcy, including whether to file for Chapter 7 or Chapter 13 bankruptcy. Chapter 7 states that an individual is totally incapable of repaying debt and it needs to be completely forgiven. Chapter 13 requires the individual to repay the debt through a structured plan.
The attorney is in charge with filing all the paperwork, including the bankruptcy petition. They are there to argue the case on why the individual needs to file for this and what they will do in the future to regain financial composure. Filing paperwork without an attorney is fine, but it is such a sensitive issue that if an individual does it wrong the first time around, they may not be able to try to file again in the future.
Yes, bankruptcy is scary and it is an invasive procedure that entails laying out all financial information for the court to see. However, a debt relief lawyer will ensure the individual gets the best deal. A lawyer provides a better opportunity that things will run smoothly in the court and the person can get on with their life once bankruptcy is filed.