How To Find Good Bankruptcy Clients
Law firms and attorneys often struggle with finding the perfect clients. While some clients might present a workable case, their time requirements and expectations may not match the reality of the situation. Others might have a viable expectation and realistic approach to their case but have an unworkable, disorganized claim.
Finding good claimants could mean the difference between successful litigation and a "black hole" of time and energy.
Follow Market Trends
In 2012, 71% of students graduating from four-year college universities had student loan debt. This is an increase from 1.1 million students in 2008 to 1.3 million in 2012. As debt like this becomes more common, the specific knowledge regarding the discharge of these debts becomes high-demand information.
This kind of bankruptcy can be good for law firms - unlike gambling related debt or credit card overcharges, student loan debt can be considered "no-fault" or "low-fault" in nature. In other words, student loan debt is debt incurred from someone trying to better themselves, not from an addiction or a compulsive habit, and thus it reflects well on your client.
For an attorney, a client who is seen in a positive light, has self-betterment debts, and has a common debt is a boon and could be an easy, lucrative case to take on.
Vet Your Clients
Finding clients is easy - finding good clients is hard. While bankruptcy filings can actually benefit your client's economic and credit situation, declaring bankruptcy and failing to present adequate documentation for owned properties can result in charges of bankruptcy fraud, tarnishing your reputation, time, and money.
For this reason, attorneys should always vet their clients. Ask for documentation concerning assets, and then match those reports up to information from public records, client-attorney privilege, or private investigation. Vetting your client will protect your business, your reputation, and, if the client is simply ill-prepared or scatterbrained, your case.
Consider Working with Debt Settlement Companies
The Federal Trade Commission (FTC) advises bankruptcy clients to work with debt settlement companies and collectors - which is great news for attorneys. When a debtor starts to work with settlement companies, they've shown that they have excellent documentation and a drive to rectify the debt situation cleanly and quickly.
Because of this, those clients working with settlement companies are typically much better clients than those without, as they provide a streamlined flow of evidence, documentation, and information.
Bankruptcy law firms, like Curtis Hatfield Attorney At Law, are careful when taking on cases. Remember these tips when considering a client.