Bankruptcy is a complicated process that allows you to make a host of essential decisions from before the moment you file right up to the time your debts are issued, and the bankruptcy process ends.

Role of a Bankruptcy Lawyer

A bankruptcy lawyer is there to guide you on the bankruptcy process, compare it to other options, and whether it’s right for you. They serve to help you take a hard look at your debts and assets and decide whether bankruptcy is the direction that would better help you or whether a wiser approach is to try to change your circumstances from a different perspective. 

A bankruptcy lawyer will use the expertise and information they have acquired over the years to help make sure your case gets the best possible result. They will support you in a variety of different ways, including:

  • Discussing your options and your eligibility.
  • Describing the legal terms needed to plan for bankruptcy.
  • Filling out legal forms and filings.
  • Helping you keep valuable properties.
  • Representing you in court and the meeting of creditors.
  • Helping you get harassed by debtors.
  • Preventing your case from being dismissed by the courts.

Filing for Bankruptcy without the help of an Attorney

“In Canada, you can represent yourself in a bankruptcy case without the assistance of an attorney. However, you will still require the assistance of an insolvency trustee.

It is easier for you to file for bankruptcy on your own if your case is simple. For example, if you have limited assets, no creditors with a fraud claim, and you want to file for bankruptcy, it is unlikely the bankruptcy court will dismiss the bankruptcy.

However, it is always a good idea to discuss your options with a lawyer. A professional bankruptcy lawyer can help you understand your condition and can help you if you need legal assistance later in the process.

When to Consult a Bankruptcy Lawyer

There are some cases in which you should always consult a lawyer, which may include:

  • Not being able to pay the bills
  • Constant calls from creditors and debt collectors
  • Unsure how to approach debt piling up
  • Bounced checks
  • No cash flow
  • Need legal representation in court.

If your company is running into financial trouble, you may like to consult with a bankruptcy lawyer. Your lawyer will help you restructure your company and consolidate your debts so that you can resolve them later. 

When you personally file for bankruptcy, you can also consult a bankruptcy lawyer when you are unable to repay your debt over time. In exchange for some of your personal properties, you will be granted a fresh financial start. A bankruptcy attorney will help reorganize your debts and negotiate a payment agreement with creditors if you are attempting to repay your debt.

It is indeed particularly crucial to consult a bankruptcy lawyer if your bankruptcy trustee suspects you of fraud. The bankruptcy trustee is an ideal person to consider bankruptcy issues. Allegations from the trustee may bring with it civil or even criminal penalties.