Cost of Filing Bankruptcy Using Attorney – Why Debtors Can Better Afford Bankruptcy Without Attorney

Bankruptcy: costs of filing bankruptcy with attorney, versus cost of filing using Bankruptcy Petition Preparer.

Under the current U.S. Bankruptcy Code or law, the system provides essentially TWO basic categories of outside assistance that a debtor filing for bankruptcy may use – assistance provided by an attorney, and assistance provided by a non-lawyer. And both of these parties come under what is called “Debt Relief Agents or Agencies.” Basically, the non-attorney assistance provider, who also goes by a name such as Bankruptcy Petition Preparer (BPP), preparers the documents upon which bankruptcy is filed with the Court for bankruptcy processing, while the attorney (or, more accurately, the help he hires that does such work) prepares the same set of documents, EXCEPT that the lawyer assistance-provider can supposedly give a debtor “legal advice,” and can appear, on the debtor’s behalf, in the administrative hearing on the bankruptcy case administered by the Court “Trustee” (who is not a Judge, but a court-appointed administrator) that will oversee the bankruptcy case.

Alright, How Do the Services and Fees Compare, Between the Bankruptcy Attorney and those of the Full Service bankruptcy petition preparer?

But what are the Costs of filing Bankruptcy using Bankruptcy attorney? Can debtors afford bankruptcy without lawyers? And, is there really any real, tangible, legitimate difference for the DEBTOR, both qualitatively and nominally, between the Full Service bankruptcy assistance that online-based non-attorney BPP agencies provide debtors, and that which is provided by online bankruptcy attorneys to debtors?

One view of it, popular in certain quarters among non-attorney online providers of bankruptcy filing assistance, is simply that there is “no difference,” or “little to none,” in terms of the actual or qualitative value of their work products for the debtor. The principal argument is that for each side, the actual, principal work that each side does or turns up for the debtor – the relatively simple but time-consuming, paperwork required to be prepared for the debtor’s use in filing for bankruptcy – is more or less basically the same content and quality for the non-lawyer prepared document, as it is for the lawyer prepared. In each case, the argument goes, the same set of documents are turned up by people who are seemingly experienced and trained or skilled in document preparation, and, in deed, in many real instances, are one and the same paralegals who work, or might have previously worked, for the bankruptcy lawyer’s office or the non-lawyer document preparer’s company. Or for both.

But, in any event, in the final analysis, the finished bankruptcy documents that both sides, the lawyer as well as the non-lawyer, provide the debtor, are generally the same and of the same quality. The Bankruptcy Courts generally accept them, process them, and act on them, just the same! In deed, it is a specific provision in the Bankruptcy Code that authorizes and sanctions that such persons may prepare such documents, and not just lawyers!

The Prices the non-attorney helper charges and what the attorney charges for Bankruptcy work

To a hard pressed and destitute debtor, the vexing, bothersome issue, is what justification, then, is there for the great disparity that exists in the prices the bankruptcy lawyers charge for bankruptcy work, relative to what the non-attorney bankruptcy document preparers charge for turning up essentially the same work for the debtor? Bankruptcy lawyers would, of course, advance all sorts of convoluted arguments and conceive all kinds of fancy justifications in defense of their extremely higher and disproportionate charges. That aspect, however, is a matter for another place and another day for us.

But is it a matter of no bankruptcy attorney, and cheap, low-low cost bankruptcy? For the benefit and information of debtors contemplating bankruptcy, just so you’ll at least have an idea, here are the differences in prices between what the non-lawyer assistance-provider charges, and what the attorney assistance-provider charges.

NON-ATTORNEY BANKRUPTCY HELPER’S SERVICES & PRICES

Service: In full Service bankruptcy work, the service of the non-lawyer debt relief agent or agency basically involves their staff gathering the various documents and required tons of papers and information together, and orderly arranging them and preparing all the legal forms and paperwork required by the debtor to file for bankruptcy with the bankruptcy court. For the better ones among them (they are not at all equal, some are far better than others, and quite a number of them are just about worthless!), these agencies use workers who are often highly trained and experienced paralegals (they average several years of work and/or training in the industry), and who are skilled at the preparation of legal documents and bankruptcy papers, and are often well versed and knowledgeable in bankruptcy filing law and procedures. With the Full Service bankruptcy petition preparers (at least those of them who are of the reputable and better categories), the debtor tends generally to get a better service and greater attention, and more one-on-one interaction for his or her case, along with the obvious far lower prices.

The Charges. There is usually a ONE-Time PAYMENT ONLY amount. One of such agency’s charge, for example, is $239 for a Chapter 7 bankruptcy; and $359 for Chapter 13. The price charged by these agencies tend strictly to follow an honest, upfront pricing that’s based ONLY on “per project,” rather than on “per hour.” (That’s in contrast to the attorneys’ charges, which are frequently based on “per hour” hourly rate).

This means that, once a reputable Bankruptcy Petition Preparer (BPP) takes any case from a debtor, you pay the BPP Agency, assuming it’s, say, a Chapter 7 case, just $239, and NOT a penny more on it, ever – no matter how many creditors you have (whether they’re 10 or 20, or 200), or you happen to start out with 10 creditors, but turn up 100 or 200 more later. Or, you have to file some additional papers to get some of your secured debts “affirmed” so you can keep, say, your car, etc. YOU JUST PAY THEM NOT ONE PENNY MORE. PERIOD! Thus, for most debtors, bankruptcy with no bankruptcy attorney assistance, offers the debtor low-low affordable costs and rates and is the only way to go.

The Time line. For the credible BPP, it takes an average of roughly one to two days to crank out the prepared, almost completed package of bankruptcy documents for, say, a Chapter 7 case filing (in a case, that is, where the debtor has hastened and substantially provides them the required financial information and documents necessary to do the papers). As a matter of policy, however, the BPP will hold off furnishing the papers to the debtor right away just so that the finishing touches, corrections and proper checking can be made before the debtor gets them. Bankruptcy, file with no bankruptcy attorney?

THE BANKRUPTCY ATTORNEYS’ SERVICES & PRICES

Service: What the bankruptcy lawyer (that is, the one who is competent and knowledgeable in bankruptcy, as not all attorneys are so equipped) does, is essentially akin to the Full Service bankruptcy type of work that the non-lawyer assistance-provider provides. Here, this involves the lawyer – or, more accurately, a staff of paralegals the he or she might have hired to actually do the work – gathering the various documents and required tons of documents and information together, and orderly arranging them, and preparing all the legal forms and paperwork required to file for the debtor’s bankruptcy with the bankruptcy court. As with the case of the non-attorney Full Service paper preparation providers, these workers who directly do the papers (the ones who are the persons that actually do the work in the lawyers’ the lawyers), are often highly trained and experienced paralegals (average several years of work and/or training in the industry) who are skilled at preparation of legal documents and bankruptcy papers, and often, well versed in bankruptcy filing law and procedures.

Furthermore, in terms of quality of service, with the lawyers, within the ranks of the lawyers who do bankruptcy work in the current times, those who file the bulk of the bankruptcy cases seem to be what one practicing bankruptcy lawyer, Jonathan Ginsburg, the Atlanta Georgia, calls “high volume filers.” These lawyers file 100 to 500 or more bankruptcy cases per month, using largely paralegals and some younger lawyers to do the paperwork, and for one thing, such high volume filers have a reputation for not offering much in the way of personal attention, but charge somewhat smaller fees relative to the “boutique” bankruptcy lawyers (those who file more limited number of cases) – a “smaller” amount of fees which Attorney Ginsburg admits, however, often still “appear to be too expensive” for some people “even [with] the lower fees and generous terms” that such volume filers think their charges represent.

Lawyers’ Charges: For Chapter 7, there’s the “initial” charge of $2,000 – 2,500; and for Chapter 13, the “initial” charge of $4,000 – $4,500. Unlike the BPP’s prices which strictly follow an honest, upfront pricing that’s based ONLY on one-time-only “per project” basis, the attorneys’ charges are frequently based on “per hour” hourly rate. (For example, the attorneys’ “per hour” hourly rate charge, was given as $228 (per hour) for their services in 2002, according to a respected independent research study, the 2002 Survey of Law Firm Economics, made by Altman Weil Pensa Publication).

Further more, as a rule, the lawyers’ fees for bankruptcy (the same, as well, in other issues) vary from lawyer to lawyer, and from one location to another location, even from a lawyer in one block to another lawyer just in the next block. The original charge (it’s usually referred to as the “initial” charge) you’re quoted by the lawyer, is often only for the run-of-the-mill, routine kind of case – the simplest, most ordinary kind of bankruptcy there is. So, if it turns out that you have, say, more creditors than the “average” (say, above 15 or so, depending on which lawyer or what part of the country), it will mean additional charge slapped onto your “initial” quoted charge. And, it can cost even more if it’s a “complicated” case in the lawyer’s opinion.

And further, God-forbid if there’s “litigation” or some creditor challenge to a debt, that means additional cost for you, a BIG one. If you are in a high-priced urban area, that alone will almost certainly guarantee more cost for you in filing for bankruptcy. Also, your lawyer will generally want his payment made IN FULL and upfront before he’ll represent you, especially if it’s a Chapter 7 case.

The Time line. Lawyers generally take an average of 2 to 3 weeks (if not more) to do the bankruptcy paper work for Chapter 7.

BOTTOM LINE:

In sum, for you as a debtor, what you should know is that bankruptcy lawyers’ generally make the allowance for themselves so they’d be able and in a position, after the “initial” fee shall have been paid them, to tack on additional fees beyond the “initial” fees you are quoted when you first signed on. The fee you are quoted by a lawyer in a bankruptcy case (even if you view it as excessive, already), may not be – and is often not – the final charge; you may still have to pay more. And probably will, generally!

Not so, though, with the non-lawyer bankruptcy assistance provider. Here, in contrast, that same very EXACT amount you’re quoted on day one, is the final and ONLY charge you’ll get, almost always, from them on the case – ever! PERIOD! The motto seems to be, no bankruptcy attorney & cheap, low-low cost bankruptcy!

Do you do your bankruptcy filing using the no attorney bankruptcy assistance, or the attorney?. What do you think?

FURTHER INFORMATION
For more on the details of the fundamental differences between the bankruptcy lawyer’s differential services, costs and benefits to the debtor, as compared to those provided the debtor by the non-lawyer helper’s services, or to find out how you or any others may use the services of one of the major non-attorney Debt Relief Agencies in the field of bankruptcy filing to file for your own bankruptcy, please visit this website: http://WWW.Afford-Bankruptcy.Com

Attorneys

These days, people seem to need an attorney for any and everything. Whether it be buying property, divorce, civil lawsuits, criminal defense, even buying a horse. Attorneys are available for every need and can be found to fit any budget.
Many people find that choosing an attorney can be a painful process. There are so many things to consider including experience, price, and availability. One of the biggest problems for people is that they cannot find an attorney suited for exactly what they need and end up severely disappointed.

There is no shortage of attorneys anywhere. Shop around, ask questions, and research the right kind of attorney for you. Choosing the right attorney makes a huge difference in the outcome of your issue. If you need an attorney to defend you in court, make sure he or she has been trained in criminal law and also make sure they have dealt with a situation similar to your own. Some attorneys specialize in felony cases, others in misdemeanors. If your attorney has previously been through the process that you will soon go through, it will be much easier. Your attorney can coach you and guide you if you are confused or indecisive. Other attorneys do not deal in lawsuits or crimes, they are specifically trained to aid in the creation of contracts. Any time you buy or sell something, you usually have to sign a contract agreeing to certain terms, these attorneys helped the seller or buyer come up with these terms and write them out officially. There are attorneys who specialize in different areas of business such as restaurants, appliances, or pets. Their job is to create a contract, or terms of sales agreement, in which their client will not be liable should any malfunction occur. Not only do these attorneys create the contracts, but they can also help you understand them before you sign them. Unfortunately, the numbers of divorces are rising and thus the number of divorce attorneys is rising with them. These attorneys are trained to aid in the process of divorce and in the process of distributing the couple’s assets. They work with you and the other attorney to come to an agreement between the couple or in court, should it lead there. They can analyze the marriage and suggest an appropriate compromise.

In any situation, attorneys can be expensive. Some offer their services for free to those who qualify and others are very expensive. Their rates, however, do not decide their availability. Expensive attorneys and cheap attorneys are very busy and, no matter what their cost, may not be available when you need them while other attorneys may have very open schedules.

People’s needs for an attorney may vary and the attorney market reflects these needs. Do your research, ask friends for recommendations, and ask questions before you decide. You need to be comfortable with your attorney and confident in his or her abilities because they are not working alone, they are working with you.

Choosing a Medical Malpractice Attorney – How to Decide

There is a commercial on the radio which suggests you should not buy a house from a cabdriver who happens to take you past the house. The premise, of course, is that the cabdriver has little or no knowledge of the home or of you. The obvious truth of this simple message extends to almost every facet of our lives. Very few of us would hire someone for something as important as being a babysitter for our children or as relatively mundane as repairing our car without being sure that the person we hire knows what they are doing and has some positive track record that we can rely upon. With that basic premise in mind, I find myself consistently surprised at how often a person will hire an attorney to handle a medical malpractice case (as well as many other types of cases) without knowing who the attorney is; what experience they may have in the field; what their record of success in the field may be; or, where they stand in the eyes of their peers and adversaries.

When a person is injured from medical malpractice, a lawsuit against a doctor or health care provider is usually the furthest thing from his or her mind. Concerns about one’s health; one’s ability to keep working and providing for a family; and, the ability to regain one’s place as a productive member of society are among the far more pressing issues. It is typically not until these concerns have been dealt with or accepted that people even consider whether malpractice might have occurred. Unfortunately, the realization that one’s life altering injury may have been preventable often adds to the difficulty of the situation.

It is within this emotionally charged and upsetting context that the search for a medical malpractice attorney typically begins. Of course, most people do not know which attorneys concentrate their practice in a specific area or which attorneys happen to focus their practice on the highly technical and difficult field of medical malpractice. Most attorney advertising suggests that the attorney who paid for the ad is an expert in every area of the law including medical malpractice. With the personal stresses and without any way to separate out which attorneys truly know how to handle a medical malpractice case, many people will hire the wrong lawyer.

A further part of the difficulty an injured person deals with when he or she considers a lawsuit is the perceived role of lawsuits in today’s society. Lawsuits are not and should not be about a “quick buck” or holding a company up for a “pay day”. The civil justice system is about accountability – about placing blame where it belongs. It is about making sure that those injured are compensated for that which they can never get back. It is about making sure that the individual, regardless of his or her financial or societal status, has the same rights as the rich and powerful. It is about assuring society that we are all equal.

Not every wrong can or should be the basis of a lawsuit. There are, however, many valid reasons to bring a lawsuit. Obviously, the simplest reason is to right a wrong. There is also great benefit to others in our community and our society as a whole in that meritorious lawsuits deter similar conduct. Unfortunately, the role of lawsuits in society has been damaged considerably by media attention of a handful of lawsuits, some of which were portrayed inaccurately to fit an agenda and some of which were portrayed correctly but should never have been brought. The end result is that, for a great number of people, lawsuits are nearly the definition of what is wrong with our society today. Critics of our judicial system depict our courts as out of control, attorneys as greedy and lawsuits as damaging to the economy and society as a whole.

Obviously, these are positions taken to drive an agenda. These critics do not address the accountability and equality a lawsuit can provide. They do not account for the positive societal changes the courts have engendered. They do not account for workplaces and products having been made safer by the effects of a lawsuit. They do not account for the millions of people who have been restored some of the ill-gotten gains fleeced by stockbrokers and corporations. They do not account for the many people who do not need to resort to public assistance for their health needs because a lawsuit has provided sufficient financial resources. In short, they do not account for any of the benefits to society of a lawsuit. Rather, they focus on some examples of ill-conceived or poorly prosecuted cases as representative of our system as a whole.

Take a moment to consider who drives these agendas: insurance companies; big business; negligent doctors and others. We must consider, before we accept their agenda, whether they have our best interests at heart or whether their agenda is designed to avoid accountability and increase profits. There are many questions a person must ask themselves before they even consider whether to bring a lawsuit. The most important of those questions, however, is why, over the course of centuries, wars have been waged and governments toppled by people demanding the equality and justice guaranteed by our courts?

A lawsuit is not appropriate in every instance but the decision to pursue this right should be an individual decision about what, under the circumstances, is right for an injured person and his or her family. The doctor whose mistake puts a child in a wheelchair for life or a young wife and mother in an early grave does not have to live with the family he or she has destroyed. The CEO whose decision to increase profit through the use of a toxic additive does not have to live in the town poisoned by that product. The insurance company accountant who refuses to pay for treatment to a seriously ill person who paid for that coverage does not have to watch the person die because they did not receive the treatment. These individuals do not have to live with the ramifications of their decisions and actions and their agenda to avoid responsibility should not drive the injured person’s decision to bring a lawsuit or not.

Additionally, those injured by medical negligence often consider the personal and societal impact occasioned by prosecuting a suit. Not infrequently, the injured party or their family personally likes the physician suspecting of doing them harm. Even more frequently, a person injured by a medical professional is made to feel that a lawsuit against that doctor will cause the doctor to leave practice or move to another state. These feelings are generated by a well orchestrated and well financed campaign by the medical lobby. The clearly intended purpose of their message is to prevent lawsuits through guilt and fear.

It has been well documented that, not only does New York have one of the highest population of doctors in the country, but more than 50% of malpractice is caused by less than 5% of our doctors. Unfortunately, in most instances, it is the doctors who make up the 5% that orchestrate the media and political spin of the medical lobby. Rather than focusing their attention on improving the quality of care or increasing medical reimbursement rates by HMO’s and the government, which would benefit all doctors and, in large part, all of society, their attention is focused on stopping those most seriously injured from seeking redress in court. Not surprisingly, such an impact only serves to aid those doctors who commit malpractice and, by and large, damages society.

Once again, the decision to bring a lawsuit must be made on an individual basis. The fact that a physician, while maybe not a friend, was kindly or soft spoken as they committed an act of malpractice may be a driving factor in an individual decision. The ultimate question for the individual making the decision on whether to pursue a case against a doctor with a nice personality or demeanor is whether the wrong which was committed, although clearly unintended, is one which we would want repeated. The medical profession, by and large, does not discipline negligence. As such, the only opportunity to prevent a physician from continuing an unsafe practice or procedure is through the courts. Whether one is making this decision for oneself, a parent or a child, the issue is less about who we like and more about whether we would be comfortable knowing that someone else’s child or loved one has become injured because we allowed a tailored, politically driven, highly financed and, ultimately false story about doctors leaving the state deter us from the societal good of preventing bad medicine.

Having made the decision to pursue a potential lawsuit, an injured party must consider which attorney will prosecute the case on their behalf. As discussed above, choosing the right attorney should involve determining the person best suited to winning the lawsuit. Too often, the decision is made on the wrong criteria. The doctors, hospitals, insurance companies and corporate wrongdoers who have caused the injury in the first place have spent considerable time and effort to convince those injured through their negligence that all attorneys can handle any case with the same relative level of skill. They know that a lack of understanding, experience or knowledge by the attorney representing a person injured by negligence, even early in an investigation, can severely damage the ability of that attorney to successfully resolve even the most meritorious case. The standing of attorneys in society, which is generally self-inflicted, has led us to a place where an injured person frequently hires the first attorney they see; a relative; a friend; or, the guy who advertises on the television and radio. While some may be qualified to handle a malpractice case, the reality is that most will not. Needless to say, the generally poor results generated when an unqualified attorney handles a complex malpractice case, exacerbates the poor standing of attorneys in society and the willingness of litigants to feel that any attorney will do. The reality is that not all attorneys are capable of handling medical malpractice cases which are, by their very nature, complicated and difficult.

When making a decision as to who will represent you, your child or your loved one, the decision needs to be based on the same criteria you would rely upon for any other difficult decision. Does the attorney have experience with this type of case? How has this attorney and his or her firm performed on other malpractice cases? What is the standing of the attorney in the community as a whole and in the smaller community of malpractice attorneys? What does the attorneys peers say about him or her? What does the attorneys adversaries say about him or her? How do you interact with the attorney? Is he or she someone you feel you can trust? Does the attorney understand the intricacies of medicine and the law as it surrounds your case? Were you directed to this attorney by someone with your best interests at heart or by an advertisement or person with their own agenda or profit motive? In short, is this person the very best person in the field to properly, professionally and successfully prosecute this case for you, your child, your parent or other loved one?

The insurance companies and corporate America have carefully vetted the attorneys who want to work for them defending the lawsuits brought by people injured by their negligence. They only hire the very best attorneys with the skills to be successful, the knowledge of their subject and the experience to maximize the results for their clients. Before you hire an attorney to represent you in a complex case, you should do the same. It can be overwhelming and it can be difficult to work through the various candidates. However, the decision as to which attorney to hire is too important to leave to chance.