I do not have money so how do you expect me to pay you?

The easy answer is that you may not be able to afford not to pay an attorney to file a bankruptcy for you. While it often seems odd to perspective clients that there are fees involved, it honestly may be cheaper than the alternatives. Sounds crazy right? Not so. Here are scenarios where not filing a bankruptcy will cost you more money than filing bankruptcy:

  • You took out a payday loan for $500. Due to the high interest on these loans, you know owe them $250 bi-weekly for four pay periods for a total of $1000. If you provided your bank account information to them when the loan was received or if you provided postdated checks at the time the loan was received, they are going to take their money regardless of whether you go in to make the scheduled payments.  In this scenario, over the next two months you will be paying them $1000. In some cases, this is likely enough to pay all or most of the fees involved in a bankruptcy.
  • You have credit cards or medical bills piling up and you are struggling to stay current even on the minimum monthly payments for all of them. You are slowly getting farther and farther behind and the creditors are being to call inquiring about payments. You keep promising payments but are unable to follow through with making them. Eventually the debts are sent to collections and the phone begins to ring even more from collection agencies attempting to collect payment. If no payments are received or the requested amounts are not received they likely will file a lawsuit against you in state court. You will receive a summons to appear in court. If you appear you may be able to ask for a continuance to buy you some time and the next court day whether you appear you not you will likely receive a judgment. Once the creditor has obtained a judgment they can appear to the court for a garnishment or a bank levy. If they garnish your check they can take up to 25% of your paycheck every pay period until the debt is paid off while occasionally having to renew the garnishment and adding their attorneys fees to your balance owed. If the creditor puts a levy on your bank account there will be a returned date listed and on that return date any funds in the account will be sent to the creditor.

As listed above, having unpaid delinquent debt may actually cost you more money than the fees involved in a bankruptcy. If you are struggling to stay afloat contact a bankruptcy attorney today to discuss your options.