Owing someone else money isn't a pleasant experience. It can stress and depress you, especially if you don't know what to do next. To make matters worse, you may have to go through a challenging insolvency process that may strain your mind significantly. The good news is that a lawyer can assist you. Bankruptcy attorneys understand the rules governing the insolvency process and can take you through the legal procedures. If you're immersed in debt, there are several reasons to work with these professionals. This article discusses three of those reasons.
Explaining Your Options
If you've never filed for insolvency before, knowing which chapter to file under can be difficult. The law provides two chapters under which consumers can file for insolvency. These are chapters 7 and 13. The former requires debtors to use some of their assets to clear their debts, while the latter helps them to pay their arrears through a repayment plan. Each option has its benefits and drawbacks, which is why you should work with a lawyer. These attorneys will analyze your financial situation and tell you the chapter best fits your circumstances. They'll also help you fill out the documents required during filing and explain your legal rights. This way, you'll find it easier to resolve your debt issue.
Before your insolvency application is approved, you'll need to go through several legal processes. One such procedure is filing a petition. Unfortunately, most people get their applications rejected because of mistakes, such as filling out the forms with incorrect details, absconding from creditors' meetings, and failing to meet deadlines. A lawyer can handle the filing process successfully. They understand its technical facets and can protect you from making errors. They'll also explain your rights, so you know what you're entitled to and help you meet all the deadlines to hasten your insolvency process.
Communicating With Creditors
It can be stressful to answer creditors' phone calls or read their nails, especially if they contact you daily to remind you to pay your debt. This harassment may lower your self-esteem and make it difficult to live your life normally. A lawyer can significantly reduce your anxiety and worries about dealing with creditors. They'll handle all the communications on your behalf, protect your rights and ensure these individuals follow the law when requesting debt payments.
Handling insolvency issues on your own can be quite challenging, especially if you're not well-versed in the legal procedures. Fortunately, a bankruptcy attorney can guide you throughout the filing process and reduce mistakes that can negatively affect your case. They'll also defend your rights and protect you from intimidation.Share
15 July 2022
While I took a few business classes in college, I left early to start my own business. I thought I had the knowledge I needed to become a great business owner and was eager to start my business. Soon, I had a new business that was actually performing pretty well in sales. Unfortunately, I hadn't taken any law courses in college, and I soon realized I made a few mistakes when starting my business that could cause me some legal trouble. Thankfully, a great business lawyer helped me correct my mistakes before I had any legal problems, but I then decided to take those business law courses. I want to help business owners and anyone else who would like to learn more about the law by starting a blog where I will share what I have learned and will continue to learn. I hope I can help you!