Debt can be an overwhelming spiral that leaves you looking for solutions. One solution to overwhelming debt is filing for bankruptcy relief. Before filing for bankruptcy, you must understand what bankruptcy is and how to find the best bankruptcy lawyer to help you navigate the process.

What Is Bankruptcy? 

Bankruptcy is a legal way to gain a fresh start when your debts have gotten out of hand. There are three common types of bankruptcy—chapter 7, chapter 13, and chapter 11. Individuals typically file for either chapter 7 or chapter 13 bankruptcy. Bankruptcy forgives some debts while allowing creditors to be partially repaid. The US Bankruptcy Code governs the cases that the federal bankruptcy court manages.

Chapter 7 bankruptcy is an option that clears unsecured debt such as medical bills or credit card debts. The debtor is allowed a select amount in exempt assets, and they must liquidate nonexempt assets. Nonexempt assets include such things as stocks, bonds, or second homes, and the proceeds from liquidating those assets are used to help repay some of the unsecured debt.

Chapter 13 bankruptcy creates a debt repayment plan for the debts the individuals have accrued. A typical chapter 13 repayment plan includes a three-year or five-year installment payment plan. People who file for chapter 13 bankruptcy don’t qualify for chapter 7 bankruptcy because they make too much money. Those who repay their creditors can keep the property, including that considered nonexempt.

Finding a Bankruptcy Lawyer in Athens, GA

It may seem nearly impossible to locate the right bankruptcy attorney for your case. However, attorneys who specialize in bankruptcy are available to advocate for their clients. It can be a significant benefit for you to consult with a bankruptcy attorney early in the process, so you can fully understand bankruptcy, how it works, and what responsibilities you have in the process.

What Can a Georgia Bankruptcy Lawyer Do for You? 

Filing for bankruptcy is not a process that should be done on your own. The best bankruptcy lawyer for you is the one who can help you understand the laws and what your options and responsibilities are. Filing for bankruptcy requires a comprehensive knowledge of bankruptcy laws, both federal and state laws, so you can choose the correct form of bankruptcy to file. There are exemptions to claim as well as repayment plans to create (for those filing chapter 13).

Bankruptcy lawyers may be able to help you in the following ways:

• Explaining the process and guiding you through it.
• Analyzing your finances.
• Evaluating your obligations and your assets.
• Advising you about the bankruptcy exemptions and which ones you should take.
• Preparing and reviewing your bankruptcy petition.
• Attending meetings with your creditors.
• Following up with your creditors and putting a stop to any post-filing collections.
• Representing you in any bankruptcy-related litigation.
• Attending hearings on your behalf.

Bankruptcy filings can affect you for many years in the future, so it’s essential to speak to an experienced bankruptcy lawyer as soon as possible.

When Should You Hire a Bankruptcy Attorney? 

As soon as you contemplate bankruptcy, you should seek a qualified attorney. The lawyer is skilled in understanding the fine print and other written portions of the bankruptcy proceedings. The attorney can review any and all documentation so everything is written correctly. Having an experienced bankruptcy lawyer in your corner can help to save you time and headaches.

Questions You Should Ask a Bankruptcy Lawyer Before You Hire Them

There are several questions you likely have regarding the bankruptcy process. Here are some questions you should feel free to ask while you are in the preparation stage.

• What is the typical process that is followed for bankruptcy filings?
• How long will it take before my bankruptcy is resolved?
• How does a case like mine typically end? What are the outcomes?
• What should I expect while I am in bankruptcy?

The best bankruptcy lawyer will be able to give you a basic overview of how bankruptcy works and how you will be affected during the process. They will be able to help you see the benefits as well as the potential disadvantages of filing for bankruptcy. Once you’ve provided them with the details of your specific situation, the lawyer should be able to help you understand the complexities of your particular situation.

How Will You Be Charged for Your Bankruptcy Filing in Athens? 

In other words, how will the lawyer charge you to file for bankruptcy? The best bankruptcy lawyer for your case will tell you how charges will be assessed to your case with them. The three most common ways that lawyers charge their fees include:

• Hourly billing.
• Flat fee agreement
• Contingent fee agreement

The specifics of your situation will often determine the fee structure for your bankruptcy. For example, attorneys defending against criminal charges typically bill by the hour. Flat fee arrangements mean the lawyer accepts a one-time payment to cover the costs of resolving your legal issues. A contingent fee agreement allows you to pay a small amount (or nothing) upfront, and then the attorney receives a percentage of the money you will gain by winning your case.

How Much Does It Cost to Hire an Attorney for Your Case? 

Generally, the fees for hiring a lawyer will be dependent on four factors.

1. The billing method and pricing structure.
2. The kind of legal work performed.
3. The law firm’s reputation and prestige.
4. The lawyer’s experience.

In Athens, the average cost for a bankruptcy lawyer can be between $200 and $400 an hour, depending on the situation. In a complex bankruptcy case, rates can be more than $1,000 per hour. The attorney’s skill and location also factor into that fee determination.

Benefits of Filing Bankruptcy

Filing bankruptcy provides several benefits for those who are being harassed by creditors and can’t keep up with their financial obligations. Here are three of the most common benefits those who file for bankruptcy relief will experience:

• Relief from credit card debt: Filing chapter 7 bankruptcy eliminates credit card debt because credit card debt is unsecured debt. That means the creditor didn’t ask for collateral to back the debt.
• End of collection harassment: The bankruptcy filing stops any collection activities and harassment by creditors. When you file bankruptcy, creditors can no longer engage in collection activities against you. That means those harassing letters and phone calls will end, bringing you some peace.
• Elimination of creditor liens: Filing chapter 7 bankruptcy can allow you to avoid creditor liens.

When Bankruptcy Won’t Help

Some debt-related issues can’t be resolved through bankruptcy. Here are some examples of when filing bankruptcy won’t help you:

• Bankruptcy can’t stop a secured creditor from foreclosing or repossessing property you are financially unable to afford.
• It can’t eliminate child support or alimony obligations.
• Unless there are special circumstances, student loans can’t be included as part of your bankruptcy.
• It can’t eliminate tax debts, especially if they are recent debts.
• It can’t get rid of non-dischargeable debts.
• If the debt resulted in fraud, you are stuck with it.

Preparing to File for Bankruptcy

Individuals who file for bankruptcy must prepare carefully for taking that step. That means you must carefully collect various financial documents to support your case. The minimum you must provide when filing bankruptcy includes a government ID with a picture, your social security card, your two most recent pay stubs, and the last two years of tax return documentation.

Other documents you may be required to provide include the following:

• Insurance declaration pages
• Property deeds
• Loan documents

There is a long list of documentation that you may be required to provide, but these are the basic requirements. While you may not need them all in your final filing, it’s better to be prepared and locate them before getting started, just in case.

Why Choose Morgan & Morgan for Your Bankruptcy Needs in Athens? 

Morgan & Morgan has been trusted to handle issues with finances for more than 30 years. It’s the mission of the debt relief lawyers in the firm to create a comfortable environment for clients as they take steps toward a more secure financial future. Calling Morgan & Morgan gets you a direct conversation with an experienced bankruptcy attorney, unlike some firms that have you speak to a paralegal first.

Here are some of the things that Morgan & Morgan has to offer you:

• Free Consultation
• Working closely with a qualified, experienced bankruptcy attorney
• Legal expertise from 30 years of work in the field
• In-house credit counseling
• Comprehensive support with dealing with paperwork
• Help to deal with banks and other creditors.

Regardless of your situation, the attorneys at Morgan & Morgan are dedicated to assisting you with superior service. Anything from losing your job to dealing with outstanding tax debts is within the scope of expertise for the lawyers at Morgan & Morgan. There isn’t a problem that the attorneys consider too big or too small for them to handle.

The law firm is dedicated to giving you the information you need to make an informed decision regarding how you should move forward with your financial life.

Get in Touch with Our Experienced Bankruptcy Attorneys Immediately

When your finances have gotten out of control, and you can’t reel them back on your own, it’s time to look at your options. Filing bankruptcy is one of those options. Finding the best bankruptcy lawyer for your situation is imperative to a successful case. For more information regarding bankruptcy or any other debt relief matters, contact Morgan & Morgan by calling (706) 843-2905.

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