Approximately one in seven American adults is being pursued by a debt collector. Many of these collectors are engaging in predatory lending practices, as well as intimidating behaviors. Furthermore, about one third of debt is bought out by a third party purchaser. More often than not the debt is outdated and obscured. This can result in collectors going after the wrong person for payment or getting important information about past payments wrong. Debt lawyers have had clients who settled or paid off a debt that was aggressively being pursued.
For a number of people, it can be very overwhelming to deal with creditors, especially when there are harassing practices, such as:
- Repeated calls
- Late evening or night time contacts
- Threatening language
- Contacting employers
- Disclosing information to a party not involved
When legal action is being threatened by a collector, seeking out a debt lawyer is prudent. A lawyer will know how to deal with debt collectors and can act as an invaluable resource to anyone wishing to assert his or her legal rights.
Sometimes a lawyer will recommend filing for bankruptcy. In addition to the obvious benefits of discharging debts through bankruptcy, the filing process also results in an immediate automatic stay that stops creditor harassment. It is your legal right to file for bankruptcy. If you are facing debt, creditor harassment, and legal threats, invoking the right to file for bankruptcy may be a sound move.
Do You Need a Lawyer to File for Bankruptcy?
It is possible to file for bankruptcy without a lawyer. This is called “pro se.” However, completing the process pro se is not recommended. This is because the entire process has both long term legal and financial outcomes.
Understanding what is involved to file for Chapter 7 or 13 takes hours of research. It is also very challenging, and at times, can be confusing. To begin, you will need to determine which type of bankruptcy is right for you.
Things to Consider Before You File Bankruptcy Pro Se
Here are a few things you should consider before filing for bankruptcy by yourself:
- You might not need to file. Some people are unaware of the alternatives to bankruptcy. Just because you are facing legal threats by creditors does not mean bankruptcy is your only option. There are debt relief solutions that may be more practical. By hiring a lawyer, all of your options will be explored.
- You might file the wrong type. There are two primary options for individuals: chapter 7 and chapter 13 bankruptcy. Both have their benefits and can solve particular issues. If you file the wrong one, you might lose assets you could have kept, or discharged the wrong debt.
- You might file the wrong documents. There are many documents that must be filed correctly. All too often a pro se bankruptcy filer will not file every document, or correctly, which can result in a case dismissal.
Lawyers have helped many people file for bankruptcy, all of whom have walked away with a fresh financial start. Let a lawyer, like a bankruptcy lawyer in Waterbury, CT from The Law Offices of Ronald I. Chorches, help you today.