Bankruptcy is not an easy process to go on with. There are several chapters under this law- bankruptcy, and you need to understand what your client filed for. In this bankruptcy process, the court helps clients to find a suitable way and negotiation process to pay back the credited money.
Are you getting mail regarding bankruptcy from an attorney? Do not get shocked; as you know, post-pandemic situations forced many people to get unemployed.
Your client may file bankruptcy where you are working as a creditor. Do not panic because it is not your fault, but there are steps that you can take to be safe and get your money back.
If your client filed bankruptcy, then the court is involved in your matter, and it will be wise for you to understand and let them do their procedures.
Thinking about filing a lawsuit?
Yes, it is possible. But bankruptcy will work first on your case.
So be patient and hire a bankruptcy lawyer in Atlanta to decide your future in this case.
We will deliver you some effective ways that you can follow to get back your money. Yes, it might be possible that you are fully paid off or at least the majority of it.
1. Stop Contact
If you see that a bankruptcy file is already made, it will be better for you to remain silent regarding your money baking process.
If you are still contacting your client for money, it will violate the code of bankruptcy. In contrast, you can follow the arrangements of the court or contact a Bankruptcy Attorney Atlanta to find out how your debt will be handled in the court.
There are various chapters associated with Bankruptcy cases, and you need to understand what is working in your case. For instance, chapter 7 works for both individuals and businesses. It deals with the distribution process of money for a negotiation purpose.
Another charter is chapter 13, which deals with persons with regular income. In this process, the court tries to regulate the process of debt recovery in a prolonged way.
On the other hand, chapter 11 is mainly for corporations. Both chapters 11 and 13 work to give breath to the debater to find out the best way to make a money settlement.
3. Cost-Benefit Analysis
See what your benefit is in this case. You can get a better idea with a Bankruptcy attorney Atlain nta. They will suggest to you whether you are receiving anything from the case or if it is just a waste of time.
In most cases, small companies or a client with less income does not seem to fit your credit amount, and that indicates you will not be paid your owed money.
Try to focus on the incomes of the clients and their current status to get the idea in advance.
Attending the “341” creditors meeting is essential for you to understand the whole situation. In this meeting, you will get the creditor, debtor, and the court trustees at the same table to discuss everyone’s situation.
Attending such meetings will help you to find out the best solutions for getting your owed money. In addition, by understanding the situation of your debtor, you will also be able to plan your money back process.
5. Review Proposed Repayment Plans
With bankruptcy, the general tendency of the court will be to delay your payment getting process. In that case, you can hire a Bankruptcy Attorney in Atlanta to speak for your situation and needs in the courtroom.
Getting delayed for your payment and getting new dates from the court will not be a solution for you. To understand the situation and analyze all payment plans to be advanced in your decision-making process.
To conclude, bankruptcy is a neutral process that might work better for your debtor than for you. Because, as a creditor, you will not get the advantage of situations. So be cautious and follow the above-mentioned processes and put these on your to-do list.