You may think that filing for bankruptcy requires a lawyer to represent you. If you're strapped for cash, you may think that you're doomed because you'll probably can't afford a lawyer to help you.
Good news: you can go DIY if you file for bankruptcy! So, being strapped for cash shouldn't be a problem anymore – there's no need to pay for lawyer fees.
The real question is: should you hire a lawyer or go DIY and file your bankruptcy case yourself? Here are some of the factors you need to consider.
Cost
One of the reasons some filers think of doing it by themselves is because of the costs associated when hiring a lawyer.
It is true that their expenses will be a bit higher if they hired a lawyer, but it does not necessarily mean it will be very expensive. It is important to note that not all lawyers charge unreasonable rates – you can even negotiate with some lawyers regarding their rates.
However, if cash is really strapped, then maybe going DIY would be your preferred option. But keep in mind that less expensive is not always a good option – if you made any mistakes when filing for bankruptcy, then it can incur more costs in the long run than if you sought the help of a lawyer from the very beginning.
Research vs. Professional Knowledge
If you will go solo in filing your bankruptcy case, are you willing to do plenty of research and lots of reading to be knowledgeable about your case? Are you willing to spend time learning about the relevant information in your case?
It's not that it's not doable – some do win their case, and yes, they took the time to self-study and research their case. The question is: are you willing to do the same?
Be honest with yourself in this – it will take plenty of time and energy on your part. On the other hand, if you choose to hire a lawyer, there's no need to do plenty of research because someone with professional knowledge will help you represent your case in court.
What Chapter will you file?
Bankruptcy in US laws offers three options (or "Chapter") - Chapter 7, Chapter 11 and Chapter 13. Read more here to know about them in detail.
Although you can file by yourself regardless of what Chapter you choose, Chapter 7 is the most feasible among the 3 because it's the simplest of them all. In Chapter 7, all you'll need to do is to sell some of your assets and pay the proceeds to your creditors. Chapter 11 or Chapter 13 requires a reorganization or repayment plan on your part, therefore it's best if you have a lawyer to assist in your case.
No Guarantee
Hiring a lawyer or not will guarantee that you will win or maximize your case. In fact, it does not guarantee that your case will be approved right away – even with a lawyer on your side.
This is not to discourage you to file a lawyer. This is to simply set realistic expectations while you're deciding whether or not to hire a lawyer.
So, Should You Hire a Lawyer (or Go DIY)?
The truth is, the answer will depend on you. However, if you're reading this, you're mostly deciding ongoing DIY – otherwise, if you decided to hire a lawyer, you probably wouldn't read this article right now.
If you're thinking to go DIY, here's a note: doing it yourself does not guarantee you'll win your case. You may think that doing it all yourself will help you lessen your expenses. But if things went wrong, it can be more costly than if you choose to hire a lawyer.
You're the only one who can decide on this matter. But if you decide that you need a lawyer in filing for bankruptcy, LG Law Firm have the best bankruptcy lawyers around – they're both skilled and cares about their clients.