If you are looking into filing bankruptcy in Dallas, you must already be having stressful financial problems. You may probably think that it will save you attorney’s fees if you do it on your own. However, you may be unaware that it is a costly mistake in the long run. Working with an experienced Dallas bankruptcy attorney will not only save you money but also time and the tension brought about by bankruptcy proceedings.
You need to know that should you decide to file bankruptcy in Dallas on your own, you will still be required to pay the same filing costs and fees. You must also be aware of how complex a bankruptcy case is because even for the simplest of cases, you need to accomplish several tasks, from filling out extensive forms, compliance to local court protocols, up to in-depth research on exemption laws. Any oversight may cause major setbacks such as the risk of losing nonexempt properties, your debt not being approved for discharge, or worse, you can be charged for fraud.
All these complications may be avoided if you work with experienced Dallas bankruptcy attorneys. You may find the bankruptcy lawyers who can help you at Allmand Law because they will work hard to bring you the best possible outcome.
What exactly do bankruptcy attorneys do for their clients?
1. Bankruptcy attorneys will make sure that all options and the different types of bankruptcy are made known to you so that you may file the bankruptcy case that best fit your financial circumstances.
Among the many types of bankruptcy, only two of them are most applicable to individual debtors: Chapter 7 and Chapter 13. Both of them provide protection from your creditors but your decision which one to file will be based on your situation.
- A Chapter 7 bankruptcy works through the liquidation of assets to pay off creditors. Bankruptcy Chapter 7 is usually fast, with discharges received within three to four months, allowing debtors the chance for a fresh start. A bankruptcy court appoints a trustee who collects all of a debtor’s non-exempt property and sells them to pay back the creditors. A debtor is allowed to keep what is known as exempt property. Chapter 7 bankruptcy is suitable for low-income debtors with little or no assets with which to pay off their debts. However, it costs more to file for Chapter 7 bankruptcy than Chapter 13 and there is a greater risk of losing your property due to foreclosure. In most cases, you will be able to qualify for Chapter 7 bankruptcy because income alone is not the sole determining factor. If you are eligible, you will need to file an official petition and submit other forms to the Dallas bankruptcy court. These documents contain detailed accounts of all your debts and describe your current financial status.
- Chapter 13 bankruptcy is called “wage earner plan” because it allows Chapter 13 filers with a regular income to pay off all or part of their outstanding debts through an approved repayment plan, within three to five years. It is often called “reorganization” The purpose of the reorganization plan is to show how you will fully pay all priority claims, such as child support, unpaid wages, and taxes, within three to five years. Unsecured debts like credit card debts and medical bills may be partially paid overtime. Even if it takes longer to discharge debts in Chapter 13 bankruptcy and there are higher income requirements in order to qualify, there is an assurance that you can keep your property and catch up on missed mortgage, car, and nondischargeable priority debt payments
2. Your bankruptcy attorney will make sure that you comply with bankruptcy requirements
The bankruptcy laws require correct and complete documentation upon filing bankruptcy. This includes numerous pages of forms to fill out and gathering and organization of supporting documents prior to filing. The reason for doing so is to prevent your bankruptcy case from being dismissed without discharging your debts because of non-compliance with bankruptcy requirements for filing, incomplete documentation, or other administrative issues.
Below is a list of the requirements you need to accomplish:
✔ Completion of the mandatory pre-filing credit counseling class within the 180 days before your bankruptcy filing.
✔ Filing of the required bankruptcy forms detailing all of your current debts, assets, income, and expenses, as well as your plans regarding loans that are secured by collateral (such as car loans).
✔ Settlement of court fees such as the filing fee, administrative fee, and in Chapter 7 cases, the trustee surcharge.
✔ Attendance to the 341 meetings where the bankruptcy court trustee, as well as your creditors, will ask you questions about the information you provided in your forms.
✔ Timely payments on your Chapter 13 repayment plan.
✔ Observance of court orders.
3. Your bankruptcy lawyer may help protect your property.
Although some property is protected by exemptions, our experienced Allmand Law bankruptcy attorneys will work hard so that you will be able to take all you are entitled to, with little or no loss of non-exempt property, while avoiding unexpected losses.
4. Your bankruptcy attorney will make sure that tax refunds and other receivables are accounted for.
It is critical to jot down all money due to you as property in your bankruptcy forms and consider the right timing when filing your bankruptcy. Failure to do will result in losses on proceeds of lawsuits, upcoming tax refunds, inheritance or life insurance proceeds, bonuses, and sales commissions.
5. Your bankruptcy lawyer will provide sound advice on dealing with credit cards and loans.
Trust that our Allmand Law bankruptcy attorneys will guide you on how to deal with your credit card debts and payday loans. Experienced bankruptcy attorneys will thoroughly explain how to deal with these personal debts and, at the same time, explain to you how your bankruptcy filing may affect your credit rating. Despite the possibility of the effects on your credit rating, you may rest assured that our Allmand Law bankruptcy attorneys will do our very best to have your credit restored in the soonest possible time.
6. Your bankruptcy attorney will take care of foreclosures and repossessions.
We, at Allmand Law fully understand the value of your house, vehicles, and personal property to you. It is therefore a given that we are committed to ensuring prevention of any foreclosure and repossession of your most treasured properties.
7. Bankruptcy lawyers will also take care of situations that may affect your loved ones.
Our empathic Dallas bankruptcy attorneys will find the most efficient way to take care of your debts, most especially if you are undergoing a challenging time such as divorce proceedings. They will work hard so that the bankruptcy process will go as smoothly as possible, with minimal effect on your family, children, and your inheritance.
8. Bankruptcy attorneys will assist you on how you can pay your creditors.
A Dallas attorney, knowledgeable in bankruptcy, will go over your financial records and to gather information on the type of debts you have. Doing so will enable your bankruptcy attorney to figure out which debts are qualified for bankruptcy discharge and look for ways to handle any remaining debt. Your bankruptcy attorneys at Allmand Law will gladly help you in settling and negotiating debts and provide you guidance on how to prevent drowning in debt again in the future. This may include educating you on the budget setting, prioritizing expenses, and cutting down on unnecessary spending.
9. Bankruptcy lawyers will make sure that you pay off your debts fair and square.
Our Dallas bankruptcy attorneys will see to it that you pay your creditors fairly before filing for bankruptcy. It is against bankruptcy laws to pay off larger amounts to specific creditors such as family or friends. This is regarded as preferential transfer and will get you in trouble. This could result in lawsuits by your bankruptcy trustee and recovery of the money that should have been distributed evenly among all creditors.
10. Bankruptcy attorneys will provide advice for free.
Our friendly Dallas bankruptcy attorneys at Allmand Law are here to address any clarifications or questions that may be hounding you. Give us the opportunity to help you by letting us examine your financial situation.
Call us at Allmand Law for a free consultation and let us help you get started on the road to financial freedom.