People in different situations may have different reasons for wanting to avoid a bankruptcy filing. Sometimes, pending financial plans for the immediate future make bankruptcy a problematic choice. Securing a car loan or mortgage in the first years after a bankruptcy can be relatively difficult. People may try to improve their situation with stricter budgeting.
For others, concern about social stigma might deter them from pursuing bankruptcy. In many cases, people do not want to miss work or have their employers learn about their financial struggles. They may feel trapped and frustrated by their circumstances. They keep struggling without making progress instead of taking control by eliminating some of their debts.
People who seek legal guidance when going through the bankruptcy process can often minimize the embarrassment and disruption associated with court proceedings.
An attorney can represent a client in court
Depending on the type of bankruptcy the individual files, they may need to appear in court one time or several times before they obtain a discharge of their unsecured debts. Court hearings typically take place during standard business hours, which might force professionals to take time off of work.
Those represented by a bankruptcy attorney do not have to miss work to attend court hearings. Instead, they can rely on their lawyer to represent them in court. In some cases, they may not need to personally appear at all.
The one exception to this rule is the creditor meeting that may be necessary. The filer may have to attend that meeting along with their attorney to answer questions and negotiate with creditors and the bankruptcy trustee.
Retaining the services of a bankruptcy attorney can speed up the overall bankruptcy process. It can also eliminate several sources of stress. People don’t have to worry about filling out complex paperwork, making legal mistakes or missing work to attend court hearings.
Learning more about the various benefits of legal representation during a personal bankruptcy filing can help people take control of their financial circumstances. Those who have support from the earliest stages of the bankruptcy process may limit the stress they experience and improve their chances of a positive outcome.
