What A Bankruptcy Evaluation Will Reveal

Posted on: 26 October 2018

Going to a bankruptcy lawyer for an evaluation will not obligate you to file for bankruptcy, but it can be very helpful in revealing information to you. If you are in debt and want a way out, here are four things a bankruptcy evaluation will reveal to you.

Which branch you qualify for

The first thing you will learn during this meeting is which branch you qualify for. There is a chance you may only qualify for one branch, such as Chapter 13, or you might qualify for both Chapter 13 and Chapter 7. If you qualify for both, you will have the ability to learn the benefits and pros and cons of each type before you choose a type to use. The goal is to try to choose the branch that would give you the most relief for your debt issues.

The relief bankruptcy could offer

The second thing this meeting will reveal is the relief bankruptcy could offer to you. You will learn the basics of how filing for bankruptcy would help you in the financial situation you are in. While this meeting will not tell you everything, it will give you a good idea where you will stand if you decide to go through with filing for bankruptcy.

The consequences of filing for bankruptcy

You will also learn about the consequences of bankruptcy. Because of the relief it offers, you should expect consequences too. Some of these might include a negative hit to your credit report, which could last for 10 years, and the loss of some of the assets you own. You may also learn that you will lose your next tax refund check. Each case is different, so you should ask the lawyer about this during your evaluation meeting.  

The costs and obligations involved with filing

Finally, you will learn about the costs involved with filing for bankruptcy. There are court fees you must pay for this, and you will also need to pay legal fees to cover the work your lawyer does for you. Additionally, there will be obligations you will have if you choose to file, such as attending a court hearing with a bankruptcy trustee and completing two courses of credit counseling services.

If you would like to find out the answers to these questions, contact a law office that offers bankruptcy attorney services to set up a free consultation visit with a bankruptcy lawyer.