Why Hire a Local Bankruptcy Attorney in Columbus Ohio?
Bankruptcy is not a simple process. Whether Chapters 7 or 13 need to be filed, any consumer severely impacted by debt must fully understand all of the implications of a declaration of bankruptcy. Although there are non-lawyer third parties who claim to be able to assist in the process, there are many good reasons to hire a local bankruptcy attorney to initiate any court proceeding.
Chapter 7 bankruptcy is a liquidation procedure. When Chapter 7 is filed, all of the non-exempt assets of the debtor are transferred to a court appointed bankruptcy trustee. These trustees are usually bankruptcy attorneys themselves, but as trustees, they are charged with the sale and distribution of assets to creditors in order of preference.
Any consumer who walks into a first-time bankruptcy hearing without an attorney can be immediately put at a distinct disadvantage, since most consumers do not understand the intricacies of the process. Furthermore, a local attorney may actually know and work with the local bankruptcy trustees, and this can be very helpful when if anything has to be negotiated.
Chapter 13 bankruptcy is sometimes termed called a wage earner’s plan. This means that it is designed as a payment plan for those debtors who wish to pay their debts, but need more time to do it. The Chapter 13 process involves the calculation of disposable income, and the amount of disposable income is the basis for a three to five year monthly payment plan. During this time, secured creditors, like mortgage companies and auto lenders, are paid their regular amounts due, but unsecured creditors like credit card companies only usually receive pennies on the dollar. A good local bankruptcy attorney is the best person to help walk consumers through this complicated process.