If you are asking yourself, “should I hire a bankruptcy lawyer?”, you are probably facing a hard decision. The debt has piled up, the collection calls have started, and maybe a foreclosure notice or a repossession threat is sitting on your kitchen table. Now you are wondering whether you really need to pay a lawyer on top of everything else, or whether you can just handle this on your own.
I am going to give you a straight answer, and it will not always be “yes, hire me.” But before I do, let me tell you why I am worth listening to on this question.
Who I Am and Why My Perspective Is Different
I am Dan Riggs, a Las Vegas bankruptcy attorney and the founder of The Riggs Law Firm. My background spans twenty-five years in the bankruptcy world, fifteen of them as a licensed attorney. Clients across Las Vegas, Henderson, North Las Vegas, and Summerlin rely on me for Chapter 7, Chapter 13, and Chapter 11 cases. My consumer case experience is extensive, including appeals before the Bankruptcy Appellate Panel, the District Court, and the Ninth Circuit Court of Appeals.
Here is the part that sets my perspective apart from most attorneys who write articles like this one. For years, I represented Chapter 13 bankruptcy trustees.
That matters to you more than it might sound. The trustee is the person who scrutinizes your case. The trustee reviews your paperwork, questions your numbers, and decides whether to object to your plan. Because I spent years sitting on that side of the table, I know exactly what the trustee is going to look for before they look for it. I can build your schedules and your repayment plan in a way that addresses those concerns up front, so that in many cases the trustee never even raises them. You cannot get that from a blog, from a software package, or from an attorney who has never done that work.
So when I tell you whether you need a lawyer, understand that I am answering from the viewpoint of someone who has watched, from the inside, what separates the cases that succeed from the ones that fall apart.
The Honest Answer: Sometimes You May Not Need an Attorney
Let me start where most lawyers will not. There are situations where you may be able to handle this on your own.
If you are filing Chapter 7, it may make sense to go through the process yourself when all of the following are true:
- You are current on your home and your vehicles.
- Your income is under Nevada’s median income.
- No significant assets need protection in your case.
In Southern Nevada, the Legal Aid Center of Southern Nevada has resources that will point self-represented filers in the right direction, and I encourage people in that situation to use them.
Even then, I will add one honest caveat. A bankruptcy attorney gives you the peace of mind that everything is being done correctly. Bankruptcy carries long-term financial and legal consequences, and a single mistake on the means test or a missed deadline can get your case dismissed or converted into something you never intended to file. But for a clean, simple Chapter 7, handling it yourself is a realistic option, and I would rather you know that than feel pressured.
Where Filing on Your Own Becomes a Serious Mistake
Chapter 13 is a very different story. In a Chapter 13 case, it almost never makes sense to go it alone, and the numbers back that up. A study published in the American Bankruptcy Institute Journal found that only about two out of every hundred Chapter 13 cases filed without an attorney actually reach the finish line and receive a discharge. Two. When an attorney is involved, the odds of completing a Chapter 13 and obtaining a discharge climb dramatically.
Here is why the gap is so wide, in plain language.
If you are trying to save your home, a bankruptcy attorney is in the best position to do it. If you are trying to keep your vehicle, the same is true. Chapter 13 also includes powerful tools that, in twenty-five years, I have almost never seen self-represented debtors use correctly, or use at all.
- Valuing collateral and paying less than you owe. Say you owe fifty thousand dollars on a vehicle, but the vehicle is only worth twenty-five thousand. If certain conditions are met, Chapter 13 can let you reduce, or “cram down,” what you pay on that vehicle to the twenty-five thousand dollar value instead of the full fifty thousand balance. I have seen people pay less on their vehicle than what it was sold to them for.
- Mortgage modification. I have seen arrearages forgiven and monthly mortgage payments reduced through the mortgage modification program. Truthfully, I am not aware of any self-represented debtor in Southern Nevada who has successfully navigated that program.
- Tools that exist even in Chapter 7. There are options, such as redeeming a vehicle for less than its value when certain criteria are met, that most people filing alone never realize exist.
The Hidden Cost of Going It Alone
There is one more thing almost nobody tells you. In a Chapter 13, the amount you pay the trustee every month depends in part on the quality of your attorney. From what I have seen, even the self-represented debtors who succeed end up paying more each month than they would have if they had hired counsel. Skipping a lawyer to save on fees can quietly cost you more over the three-to-five-year life of your plan than the fees ever would have.
That is the real irony of these tools. The very thing people skip a lawyer to save money on is often the thing a good lawyer would have used to save them far more.
“But I Am Already Broke. How Am I Supposed to Afford a Lawyer?”
This is the number one reason people try to go it alone, and it deserves a real answer.
In a Chapter 13 case, the majority of my fees are paid through the trustee. When you file Chapter 13, you make a single monthly payment to the trustee for three to five years, and a large portion of my fee is paid out of those payments. That means you do not have to come up with all the money up front to hire me.
Even in a Chapter 7, I take payment plans before filing so the fees get paid over time. At The Riggs Law Firm, a basic Chapter 7 starts at two thousand dollars and a basic Chapter 13 starts at five thousand dollars, and many factors can affect the cost in your particular case. You do not have to pay everything up front. You do not have to pay everything the first time we meet.
The consultation is free. That first conversation is where we figure out whether bankruptcy even makes sense for you, and there are absolutely cases where it does not. If that is your situation, I will tell you honestly and up front. I would rather give you the truth than file a case you do not need.
The Mistakes People Make Before They Ever Call Me
By the time some people walk into my office, they have already done the damage trying to fix things on their own. These are the ones that hurt the most, because they were avoidable.
- Draining a 401(k). Retirement accounts are often protected in bankruptcy. People cash them out to pay creditors and lose money they could have kept.
- Borrowing from family. Now you owe the people you love, money that bankruptcy might have discharged.
- Selling or transferring assets. Property that could have been protected and saved through a bankruptcy case is gone, and sometimes the transfer itself creates a new legal problem.
The single biggest mistake I see, over and over, is people trying to handle the situation alone before getting any advice. Under Nevada’s exemption laws, much of what people panic about is already protected. The homestead exemption can protect a significant amount of equity in your primary residence, retirement accounts are generally safe, and there are protections for vehicles and household goods as well. A free consultation costs you nothing and could save you from every one of the mistakes above.
What About My Credit?
This is the fear that keeps people from filing at all, so let me address the myth directly. Bankruptcy does not ruin your credit forever. In most cases, it begins repairing your credit faster than anything else you could do.
Most people who come to me already have serious credit problems by the time they file. When you retain me, I run a credit report for you. That report shows you what your score is now and what it could look like twelve months after you file. What I have found is that for the majority of people, their credit actually improves a year after filing. If you are lying awake at night worried about your credit score, that worry is very often pointed in exactly the wrong direction. Come in, and let us look at the real numbers together.
If You Do Hire an Attorney, Hire the Right One
Deciding to get a lawyer is only half the decision. Choosing a good one is the other half, and from my years working alongside trustees I can tell you plainly that some attorneys simply get better results than others. I watched it happen case after case. A polished website tells you nothing about how a lawyer actually performs when the rubber meets the road.
When you are choosing an attorney, do this:
- Ask about their actual experience. Do not stop at “how many cases have you filed.” Have a frank conversation about why bankruptcy makes sense in your specific situation and what your alternatives are if you decide not to file. A good attorney will engage with that honestly.
- Do not be impressed by a line out the door. A crowd does not mean a good attorney. It just means a busy one. High-volume operations that churn out cookie-cutter filings are not the same as someone who builds your case to survive trustee scrutiny.
- Make sure they will tell you when not to file. The right lawyer is willing to talk you out of bankruptcy when it is not your best option.
The Bottom Line
So, should I hire a bankruptcy lawyer? That is the question this article set out to answer honestly.
If you have a simple Chapter 7, meaning you are current on your house and car, your income is under the median, and you have nothing you need to protect, you may be able to do it yourself, and there are free resources to help.
In almost every Chapter 13, and in any case where you are trying to save a home, keep a vehicle, protect assets, or use the tools that actually reduce what you pay, the answer is yes. Should I hire a bankruptcy lawyer in these situations? Absolutely. The fees are more affordable than most people assume, the consultation is free, and the cost of getting it wrong is far higher than the cost of getting it right.
The worst thing you can do is nothing, or, worse, the wrong thing done alone. If you are not sure where you stand, that is exactly what a free consultation is for.
Should I Hire a Bankruptcy Lawyer? Talk to One for Free
At The Riggs Law Firm, we do the paperwork for you, we obtain your credit report, we offer online or in-person appointments, and we work out payment arrangements so cost is not what stands between you and a fresh start. We will be at your side every step of the way, helping you eliminate your debt and repair your credit.
Call The Riggs Law Firm at 702-605-5070 to schedule your free consultation, or visit danriggs.com to book online. Our office is located at 5545 S. Mountain Vista St., Las Vegas, Nevada 89120, and we proudly serve Las Vegas, Henderson, North Las Vegas, and Summerlin.
This article is general information, not legal advice, and reading it does not create an attorney-client relationship. Bankruptcy law varies by jurisdiction and every situation is different. For advice about your specific circumstances, schedule a consultation with a qualified bankruptcy attorney.
