Considering filing for bankruptcy is never an easy position to occupy, it is a difficult, expensive, and time-consuming process, complex and emotionally draining, with the added concerns of what will happen with your home, car, etc. Circumstances can change rapidly, and one unexpected expense can push an individual’s finances from just getting by to completely broke. Chapter 7 bankruptcy is the most filed form of bankruptcy in the country, and for some people can be the only way to resolve their financial issues and get back on track. Exclusive of attorney fees, it will cost several hundred dollars in court fees to file the petition, and many who are looking to file for bankruptcy simply do not have that type of money on hand, which is where zero down bankruptcy can help.
One option for those with limited income and cash on hand is to apply (and qualify) for waivers for the various costs associated with filing the petition – such as pre-bankruptcy counseling or the filing fee – and then either find an attorney willing to provide their services pro-bono or attempt to represent themselves. Financial laws are extremely complex, and without the benefit of experienced counsel, you could find it costing you more in the long term, so it is advisable to have an attorney’s assistance. Zero ($0) down bankruptcy is a service offered by many law firms that enable people to avoid spending a single cent before the forms are filed.
Typically, the firm or attorney will require you to meet income and employment requirements and pass a means test to qualify for zero down bankruptcy. An affordable repayment plan will be agreed upon, commencing after the filing, covering the upfront fees to the court, meaning you have no upfront fees. Repayments will generally start around 30 days after filing, at which point your debts will have been put on hold.
As our understanding of the external factors that contribute to bankruptcy has changed, many people now view bankruptcy as a sensible option to improve their financial situation. The provision of zero down bankruptcy has finally made this option available to a wider group of people. More people than ever can use attorneys to help them begin taking control of their finances.