Once the bank has declared you as bankrupt, the best decision you can make is to file for bankruptcy and hire an attorney. It is one of the wisest things you can do. But, a lawyer can save you from the creditors if he is not free of cost. You will still have to pay the lawyer his fees. The fees, however, depend on the area or the intensity of the case.
Popular chapters in bankruptcy
There are two most popular chapters for the bankruptcy plan. One is the chapter 7 plan, and the other one is the chapter 13 plan. Paying the lawyer for chapter 13 plan is far more expensive than paying for a lawyer for chapter 7 plan, the cost is almost thro=ice as much as the later. But, if you choose chapter 13, you do not have to pay the legal fees before you file the case. However, that is not the case with chapter 7; if you choose Chapter 7 bankruptcy, you will have to pay the full amount before the case is filed.
Chapter 13 or 17?
If you consider this factor, then chapter 13 might seem more convenient for you. But think again. The thing with chapter 13 is that it asks you to pay a part of your debt, even if you have no funds, on top of that you have to pay an entire fee later on, which is almost triple of what chapter 7 is. This is not even the worst part, chapter 13 cases are usually dismissed at the earliest, without helping the debtor. SO you won’t be able to get rid of your debt.
This is the biggest mistake people make. Just because chapter 13 does not require you to pay the legal fee beforehand, it does not mean it is a convenient option. People usually end up making the wrong decision regarding the chapter and then are stuck with the debt. It is wise that you think and takes up a decision, have a talk with experts and the proceed further.