After the recession and liquidity crunch of 2007, foreclosures are rampant and the number of homeowners who have already lost their homes has escalated over the months. It gives a very gloomy picture of the economy. Earlier the economy thrived because of consumers. Nevertheless, consumers are the worst affected now and the credit crunch has taken away their peace of mind. The panic stricken debtors are so much in debt that they are opting for bankruptcy.
A person generally files bankruptcy if the other debt relief options fail to work for him. The New Federal Bankruptcy Laws were introduced in the year 2005, so that the number of consumers filing bankruptcy is minimized. The new laws have however not prevented consumers from filing bankruptcy. But the norms pertaining to filings have become very rigid. Though a person can file bankruptcy on his own, it would be better if he takes help of a lawyer. It is always better to have someone who will be legally representing the debtor. Experienced lawyers make the matters simplified.
A person can file either for Chapter 7 or Chapter 13 bankruptcy. The Bankruptcy Code is designed in such a manner that it not only benefits the lenders but the debtors as well. Under the new laws a person also has to take a credit counseling session. The credit counselor has to be approved by the U.S. Trustee. A person has to shell out approximately $ 60 for a credit counseling class. However, through a waiver program, the debtor can avoid paying for the credit counseling classes if it can be proved that he has a very low income and an attorney from a free legal aid program is representing him.
It is important to have legal representation and hiring a bankruptcy lawyer can be a very expensive affair. One may be given an option of availing “free legal counsel” under a state program. However, this may prove to be very time consuming because of the long queue and one has to wait for a considerable time period. In majority of the cases, chances of availing free legal counsel are rare.
If you want to take help of a reliable and experienced Bankruptcy lawyer- Hamilton (NJ) is one such place in the United States, where the residents are fortunate enough to avail services of Law Office of Peter E. Zimnis. To know more about them log onto www.peterzimnislaw.com. This highly reputed firm will offer their services at very affordable prices. Contact them today and schedule an appointment.
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