Q: Do I need a bankruptcy lawyer? What are my chances of getting my money back if someone filed bankruptcy?
A:
If you are a creditor, then you do not need a bankruptcy lawyer in most cases. Whether you will get your money back will depend on what kind of bankruptcy was filed and whether the person/corporation has assets.
You provide no information about the debt. What kind of creditor are you? Secured or unsecured? How many other creditors are you and are they secured or unsecured? Who is the debtor? A consumer? Or a business? What kind of bankruptcy was filed? A chapter 7 or 13 (for most consumers) or a chapter 11 (for businesses or very high income/asset/debt people)?
If this is chapter 7, then you will only get some of your money back if the debtor has assets. If this is a chapter 11 or 13 (the difference is that chapter 13 is for people and 11 is for businesses or people with huge debts like Donald Trump) then you will get a proof of claim. You will be paid some percentage of your claim if you are in a class of creditors to be paid. If all of the money is going to creditors in a higher priority class (say secured creditors and you are an unsecured creditor) or there are no assets, then the chance of you being paid is slim and none. The only possibility is that maybe if you are a family member or someone like that then the debtor may reaffirm the debt. If that happens the debtor would have to pay.
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