Navigating Chapter 7 Bankruptcy if You do Not Have Any Money

If you have considered filing for bankruptcy, you are likely short on money and tired of being harassed by creditors. Unfortunately, it is not free to file for bankruptcy even though the process is designed for individuals who are facing a large amount of debt. This article will examine how much you can expect the bankruptcy process to cost and list some reasons why this process is still often a wise idea if you are facing financial difficulties.

The Assistance of a Bankruptcy Lawyer

Some people try to save money during the bankruptcy process by avoiding paying for a bankruptcy lawyer. While it is possible to navigate the bankruptcy process on your own, there is a much lower success rate for individuals who try to file for bankruptcy without the help of a lawyer. While an attorney is not required to navigate the bankruptcy process, it is almost always a good idea to obtain the assistance of one.

Other Costs Associated with the Bankruptcy Process

Even after hiring an attorney, there are other costs associated with the bankruptcy process. The average filing fee for a Chapter 7 bankruptcy is reported to be $335. There are also additional fees that a person must pay for numerous parts of the bankruptcy process including credit counseling.

It is also important to understand that Chapter 7 bankruptcy involves a means test, which helps to disqualify individuals who would be able to pay off creditors to a degree sufficient to qualify for Chapter 13 bankruptcy. Because Chapter 7 bankruptcy is based off of a person’s median income, many people who qualify for the process are able to substantially reduce the costs associated with filing for bankruptcy.

The Advantages of Filing for Bankruptcy

Even though it can seem counterproductive to spend money on filing for bankruptcy when you are short on finances, there are some distinct advantages offered by filing for bankruptcy which include the following:

• Filing for a bankruptcy offers a person the opportunity to stop harassment from creditors and creates the opportunity to rebuild a person’s credit score. Many people discover that filing for bankruptcy offers them the opportunity to finally relax.
• Bankruptcy helps to make sure that a person keeps a certain baseline in life. A person is able to protect certain assets in bankruptcy including his or her home or vehicles.

Speak with a Skilled Bankruptcy Lawyer

While it might a scary process, Chapter 7 bankruptcy is often a very short process and often only lasts from four to six months. If you are considering filing for bankruptcy, you should not hesitate to speak with an experienced bankruptcy attorney today. Contact attorney Jim A. Lyon today. Attorney Lyon has helped numerous people navigate the bankruptcy process and knows what it takes to make sure that your bankruptcy concludes quickly and successfully so that you can return to taking the steps necessary to rebuild your credit and your future.