There are many consumers who are aware of their legal option to use bankruptcy as a means of eliminating their debts. However, majority of them are uncertain of the costs involved on how to declare bankruptcy. This is because there is confusion about the different ways to do it. To many, they thought there is only one way of doing it. In this article, I will answer some of the most frequently asked questions about filing consumer bankruptcy.

Q: What is the easiest method to file bankruptcy?

A: Hiring a bankruptcy lawyer is the most convenient way to file bankruptcy. The lawyer will handle all the intricacies and complexities of the bankruptcy procedure. Whether you are planning to file Chapter 7 or Chapter 13, a good lawyer can guide you to the proper course of action. Unfortunately, this method is also the most expensive. You need to be able to screen legal professionals to your advantage if you want to get the best deal. Most attorneys these days offer a free initial consultation that you can take advantage of.

Q: I’m short on money, is there a fixed cost solution?

A: If you are planning to file Chapter 7 then you are in luck! Bankruptcy preparation services will be happy to take your case. What they will do is to ask you to complete an ‘intake form.’ They will evaluate and prepare the bankruptcy petition for you. Some of the service providers have full-time lawyers to evaluate your case while others don’t have any legal professionals at all. After getting the paperwork done, you are the one to represent yourself in the bankruptcy court. This makes half of the solution a do-it-yourself. Always consult your local bankruptcy court to confirm that your state allows for such services to prepare your documents.

Q: I can’t afford a lawyer, is there a cheaper solution?

A: The new bankruptcy law doesn’t require you to hire a lawyer. You can file bankruptcy yourself as long as you can show ‘due diligence’ to the court. This method of personal bankruptcy filing is called ‘pro se’ or self-help method. There’s a great deal of learning curve in educating yourself with the latest procedures in bankruptcy laws. You can make this difficult task easier by buying an up-to-date bankruptcy book. You can also use a bankruptcy kit with completed samples as your guide. It’s important to make sure that you are using the latest version of any bankruptcy software that you are planning to buy. From time to time the Federal Bankruptcy Court updates the official forms.