Bankruptcy Paralegal

Jun 6th, 2014 | By | Category: Guide

Anyone who has considered filing for personal bankruptcy can testify to the uncertainty and alarm the very picture of the process can cause. This doesn’t need to become the case, however, because by gaining a little bit of knowledge about bankruptcy, it is feasible to sort through the worry and see the truth. You can determine whether bankruptcy represents a smart way to get a new start by applying these tips to your own financial situation.

Filing bankruptcy allows for a new start. Under the Bankruptcy Abuse Prevention and Consumer Protection Act (‘BAPCPA’), which significantly amended the U. S. Bankruptcy Code effective October 17, 2005, prior to filing a bankruptcy case, an individual must obtain some consumer credit counseling from an entity approved by the U. S. Trustee within 180 days after the date of the filing of a bankruptcy case. Such counseling is designed to provide an individual with alternatives in filing a bankruptcy case.

Consider the two common bankruptcy types. The most popular is the chapter 7 (which is a straight or liquidation bankruptcy). there is likewise the chapter 13 (which represents a repayment plan for individuals). BAPCPA has made chapter 7 to be harder to file, by reason of the means test. Many individuals will be obliged to file a chapter 13 case because of this test.

Bankruptcy Paralegal Conundrum

Be honest about your debts. When you file for bankruptcy, you need to be completely honest about your debts. If you attempt to hide any income, or assets from a Trustee, you might see that the court dismisses your case. You will also be barred from re-filing any debts that were listed in that petition. Report all financial information, no matter how insignificant it may seem.

In filing a bankruptcy case, don’t use your credit cards. If you do so with the intention to file, a creditor can challenge the performance of the debt owed or even your right to discharge any debt. If you obtained the debt knowing that you couldn’t repay it, you may be unable to discharge that debt if the creditor challenges it through a cause, or adversary proceeding, in your bankruptcy case.

If no such lawsuits are filed, shortly after that 60th day you’ll receive notice of a discharge of debt if you filed chapter 7. A discharges means that you’ve got no further obligation to reimburse the discharged debt, the existence of that discharged debt may still appear in your credit reports though, and that your creditors can never collect the debt from you.

A great way to restore your credit after you have filed for bankruptcy is to have a low-balance credit card. This way, you can make small purchases and be in a position to pay it off each month, making you look more responsible and raising your credit score. But, just make sure that you will be able to pay off the amount every month.

Start getting used to paying for items with cash. Because bankruptcy will affect your capacity to acquire credit for the foreseeable future, and credit you do obtain will have a strong interest rate, pay for everything you can with cash or a check to prevent racking up new, much more expensive debt.

When filing for bankruptcy, spend plenty of quality time with friends and family. When your financial life is in a situation of upheaval, it’s easy to become completely overwhelmed with stress and worry. Making time for enjoyable activities can help relieve some of emotional turmoil created by the bankruptcy process.

The reason for stating this is that a large number of people who’re considering filing bankruptcy or even starting the process of bankruptcy are doing it themselves. Believe me, filing bankruptcy is no longer a ‘do it yourself’ type of procedure, not if you have hours of time on your hands to research, research, and then research some more. And even then, since bankruptcy filings and proceedings aren’t part and parcel of your normal activities, nor have they been for a number of years, you’re going to make mistakes if you intend to go it alone without a good bankruptcy lawyer. You may be the smartest person on the planet but without the portrayal of a good bankruptcy lawyer, the bankruptcy proceedings will almost inevitably take longer and may well cost you more in the long term, even after consideration of the attorney’s fees for handing your case.

A good bankruptcy lawyer has access to specialized information to aid them in handing your bankruptcy case. The lawyer would also not have any emotional commitment to the case and is capable of be entirely objective about it, whereas you’re liable to be too emotionally attached to your own bankruptcy to be able to see all the facts clearly. And just one error in the paperwork or the process of filing could result in your bankruptcy being dismissed.

That’s right, a bankruptcy isn’t a guarantee that you really CAN file for bankruptcy. With everything else going on in your personal and business life right now, can you really afford to have your case dismissed because you messed up on the paperwork? At this point in their lives, people filing bankruptcy obviously cannot afford to devote more than they need to, but during the same time, they cannot risk having their case dismissed.

Never use a paralegal to guide you through the bankruptcy process. While some paralegals may have the expertise to provide all the answers you need, they cannot give legal advice legally. You aren’t guaranteed in any way to receive accurate information or advice because of this. An attorney, on the other hand, has a legal and moral obligation to provide you with accurate information and sound advice.

Once you have made the decision to go forward with the process of filing personal bankruptcy, use the tips here to assist you through it. You will find it much easier to administer the process, now that you’ve taken the first phase and looked for the help you have received here.

has any one used a paralegal before for bankruptcy?
how did it go and would you recommend it or not?

  • A paralegal cannot represent you in court. The only people who can represent you in court would be a licensed attorney, an advanced law student with specific training holding a special certificate to practice in court, and you if you chose to represent yourself pro se. The paralegal would be trained in legal procedure and might be able to assist you in directing you as to what you need to file and could probably do some research but they haven't been trained in the intricacies of the actual application of the laws. Also paralegals are not supposed to work w/ clients independent of direct from a supervising law firm, agency, or lawyer. Hope that clears it up for you.

  • Tags:

    Comments are closed.