I have a secret: not everyone needs a bankruptcy lawyer. If you have nothing but credit card debts, live alone, don’t own any property of significant value, and are willing to wade through the rules and forms necessary to file a Chapter 7 bankruptcy petition, then you can probably tackle the bankruptcy process on your own.
But there are some issues that could come up in your bankruptcy where you will want think long and hard before going it on your own:
- If your average gross income for the last six months is above the median income level for your state, you are probably going to need some help to navigate the means test. I have yet to find an online calculator that will help you with that, and it requires a strong knowledge of what you can and can not include in your income and debts.
- If you have a home or vehicle that you want to keep after you file bankruptcy, you will want to work with someone who can help you with your Statement of Intention and give you an opinion on whether or not you should reaffirm one of your debts.
- If one of your creditors files a lawsuit in bankruptcy court after you’ve filed your petition, you should definitely consult with a bankruptcy attorney. Litigation is not something one should “dabble” in, and the judge won’t give you a break just because you are representing yourself.
- If the trustee or the U.S. Trustee tries to have your case dismissed, you will want to consult with a lawyer to see how best to defend against their request.
- If you have recently given away or sold property for less than its value. The trustee will look twice at any property transfers that don’t “smell right” and you may be looking at a motion to dismiss.
- If a creditor has gotten judgment against you and filed a lien against any real estate you own. Liens are not automatically removed by the bankruptcy process and require a motion to do so.
- If you are being evicted by your landlord.
- If one of your creditors has asked the bankruptcy court to lift the automatic stay so that it can move forward in a lawsuit against you.