Why hire a bankruptcy firm that charges a flat fee vs. a firm that charges by the hour in Ohio?
If you’re considering filing bankruptcy in the state of Ohio and you’re wondering how you could possibly pay for the representation fees, there is a way you can resolve your financial issues at an affordable rate. Although the court filing fee for a bankruptcy case is a flat fee, you should conduct your due diligence when it comes to hiring a bankruptcy lawyer who will charge you a reasonable rate. This process is important because all bankruptcy lawyers do not structure their fees on the same criteria.
Bankruptcy Case Fees
Bankruptcy case fees will vary based on the type of case you’re filing. For example, if your case is filed under Chapter 7 bankruptcy law, your fee will be lower than you if you filed under Chapter 13. This is due to the type of debt that falls under each chapter. Chapter 7 settles debt based on the filer’s assets that can be given in lieu of cash. As tangible assets are sold, debtors receive their payments until all debt is paid in full. Whereas when you file under Chapter 13, you will pay off your debt from the income you receive over a period of time.
Why Choose Flat Fee Legal Services?
Since you have an opportunity to rebuild your financial life, it would be beneficial to choose a bankruptcy lawyer that charges you a flat fee rather an hourly rate. This is due to the uncertainty of your case results. If you don’t know how long it will take to settle your case particularly with the varying negotiation process of debtors. You should consider seeking the services of a lawyer whose fee includes court filing fees and legal representation services. This will spare you the worry of not being certain if you’ll be able to keep up with the unknown amount of hours that you could be charged with a hourly rate lawyer.
Your financial circumstances may not be able to help you avoid filing bankruptcy, but your legal representation choice could save you a significant amount of money. While there are many bankruptcy lawyers in Ohio who will provide the help you need regarding your financial challenges, you should take the time to thoroughly assess their legal service fees. By conducting a little research to analyze the frequency of charges and types of services, you can help yourself develop a strategy to pay for your legal services.