6 Things You Need To Know About Hiring A Bankruptcy Petition Preparer

Chapter 7 Applying for bankruptcy is never easy. Bankruptcy may be the best option if the debt is too high to manage.

Chapter 7 Bankruptcy protection applications are costly. Attorney fees and court fees may cost the petitioner $ 1200 to $ 3500.

Bankruptcy lawyers are a valuable resource, but many debtors facing financial failures cannot afford to pay fees. A percentage of new bankruptcy applicants apply for protection using professional bankruptcy preparation services.

It is legal to go bankrupt without the guidance of a lawyer. Section 110 of the US Bankruptcy Code defines bankruptcy petitioners as non-lawyers who prepare bankruptcy-related documents for a fee.

There are six things you should know when applying for Chapter 7 bankruptcy without a lawyer.

Petition creator cannot provide legal advice
Only lawyers can provide legal advice to clients. The bankruptcy petitioner cannot advise the customer on which bankruptcy chapter to submit, property exemption, debt exemption, or whether the customer can hold the property. Practice of the law without a license is against the law for everyone.

Client needs to provide accurate information
The bankruptcy applicant completes the document according to the information provided by the client. It is important that the client provides accurate and truthful information to the creator. The US Bankruptcy Court will be liable to the complainant if the document contains false information.

The petitioner cannot charge an excessive fee
People who consider applying for bankruptcy protection are financially vulnerable. There are several companies that try to exploit vulnerabilities. The US Bankruptcy Court frowns on creators who charge fees that the court considers excessive. The court has the authority to require the creator who charges the excess fee to return the cost to the complainant.

Client manages bankruptcy cases
The author's sole duty is to produce an accurate and complete document according to the information provided. Clients must submit completed documents themselves. They must manage bankruptcy cases from application to dismissal.

The petitioner does not attend court meetings
A client who claims bankruptcy without a lawyer & # 39; 341 Meeting of Creditors & # 39; alone. The bankruptcy petitioner cannot act as a client representative.

Affordable options for hiring a lawyer
Bankruptcy applicants charge a $ 100-200 fee for services. The client who hired the petitioner discovered that the process was not as intimidating as he had imagined. Thousands of petitioners submitted successful petition forms without a lawyer.

It may be right for you to file bankruptcy without a lawyer. It is important to investigate bankruptcy information thoroughly and find a preparer to complete an accurate and affordable petition.