There are many advantages to hiring an attorney to handle your debt settlement. The first advantage is that, once you hire an attorney, creditors can no longer contact you regarding any debt collection matters; they must contact the attorney. Simply not having to deal with creditor phone calls can be a big relief. Second, if you hire an attorney, particularly a practicing bankruptcy attorney, you can get objective information with respect to Chapter 7 and Chapter 13 bankruptcy so you can make an informed decision about those three debt-relief alternatives. Your attorney can also advise you on the tax implications that could be involved in settling your debt.
Another advantage to having a bankruptcy attorney in your corner is that they are familiar with creditors and know exactly how to deal with them. You will have some clout on your side if a creditor sues you or threatens you, because your attorney will know your legal rights and will stand up for you.
Perhaps the most significant advantage to having an attorney handle your debt settlement is that your settlement funds will be held in your attorney’s trust account. Regulated by the Supreme Court of Colorado, your attorney is ethically and legally bound to ensure that your funds remain safe.