Is Upsolve Real? Evaluating This Bankruptcy Service

You’ve heard about Upsolve and wonder if it’s legitimate. You need answers before trusting any service with your financial future.

Upsolve is a real 501(c)(3) nonprofit organization. The federal government supports it through the Legal Services Corporation. Private charities and institutions across law, philanthropy, education, and technology also back the organization.

The service focuses on one mission: helping low-income Americans file Chapter 7 bankruptcy for free. The team believes no one should be too broke to access bankruptcy relief.

If you’re considering bankruptcy, you have options beyond self-filing tools. You can speak with a bankruptcy attorney for free to explore whether Chapter 7 or Chapter 13 fits your situation better.

How Upsolve Started

Upsolve originated at Harvard Law School’s Access to Justice Lab. Co-founder Rohan Pavuluri worked as a research assistant there. He tested paper packets explaining different legal topics to low-income Boston residents.

One packet covered bankruptcy. Rohan saw the massive positive impact bankruptcy had on people’s lives. He decided to build a TurboTax-like tool for bankruptcy.

Jonathan Petts joined as co-founder next. He brought 10 years of bankruptcy experience. His background included a Masters degree in bankruptcy law. He clerked for two bankruptcy judges and worked at two Big Law firms in NYC.

Harvard University provided seed funding. The Robin Hood Foundation and Legal Services Corporation also contributed initial support.

The service launched nationally in summer 2018. It has since become America’s largest nonprofit for bankruptcy. Thousands of cases have been filed through the platform. Over 2 million people have visited the website.

What Upsolve Provides

The nonprofit offers a free bankruptcy filing tool. Users answer questions about their financial situation. The platform generates bankruptcy forms based on those answers.

Upsolve carefully screens cases. The team refers complex situations to attorneys. They don’t provide legal advice themselves.

The service works best for straightforward Chapter 7 cases. You need to meet specific criteria to qualify.

Who Upsolve Works For

Upsolve targets low-income Americans with simple bankruptcy cases. You qualify if you have:

• Limited income below state median levels
• Few or no assets to protect
• Primarily unsecured debts like credit cards and medical bills
• A straightforward financial situation

Complex cases require attorney representation. Examples include business debts, recent large transactions, or significant assets.

Limitations of Self-Filing Tools

Self-filing bankruptcy has risks. You might miss exemptions that protect your property. You could make mistakes that delay your case or result in dismissal.

Creditors might object to your filing. You’ll need to handle those objections yourself.

Bankruptcy trustees might question your paperwork. You won’t have attorney support during those conversations.

Many people benefit from professional guidance. A bankruptcy attorney can protect your interests throughout the process. They ensure you use all available exemptions. They handle creditor objections and trustee questions.

What Bankruptcy Experts Say

Ed Boltz served as President of the National Association of Consumer Bankruptcy Attorneys. He stated Upsolve plays a critical role for people who can’t afford bankruptcy lawyers. He called it an important part of promoting equal rights under law.

Judge Henry Callaway is Chief U.S. Bankruptcy Judge for the Southern District of Alabama. He compared bankruptcy to the income tax system. He noted the tax system is much more complex than bankruptcy code. Yet TurboTax exists for taxes. He questioned why similar tools can’t exist for simple Chapter 7 bankruptcies.

Media Recognition

Upsolve has received significant press coverage:

• Chicago Sun-Times featured the founder’s mission to help people erase debt for free
• Fast Company named it one of the 10 most innovative nonprofits of 2020
• Forbes covered the Under 30 cofounder’s bankruptcy service
• New York Times included it in the 2018 Good Tech Awards

Should You Use a Self-Filing Tool or Hire an Attorney?

Self-filing tools work for simple cases. You save money on attorney fees. You maintain control over your filing timeline.

Attorney representation offers substantial benefits. Lawyers protect you from mistakes. They maximize your exemptions. They handle all creditor communications and court appearances.

Consider hiring an attorney if you have:

• Assets you want to protect
• Recent financial transactions that might raise questions
• Business debts or tax debts
• Previous bankruptcy filings
• Concerns about creditor objections

Many attorneys offer free consultations. You can discuss your situation before committing. Professional guidance often pays for itself through better outcomes.

Alternatives to Consider

Bankruptcy isn’t your only debt relief option. Other paths might work better for your situation.

Chapter 13 Bankruptcy

Chapter 13 lets you keep assets while repaying debts through a 3-5 year plan. You make monthly payments to a trustee. The trustee distributes money to creditors.

Chapter 13 works well if you have regular income. It protects assets you might lose in Chapter 7. You can catch up on secured debts like mortgages and car loans.

Debt Settlement

Creditors sometimes accept less than you owe. You negotiate reduced payoff amounts. Settlement works best for old debts with aggressive collectors.

Settlement damages your credit temporarily. Forgiven debt might create tax liability. Creditors can still sue you during negotiations.

Credit Counseling

Nonprofit credit counseling agencies help you manage debt. They negotiate lower interest rates with creditors. You make one monthly payment to the agency.

Credit counseling works for people with steady income. You need to afford monthly payments. The process takes 3-5 years typically.

Making Your Decision

Research all available options before choosing a path. Your financial situation is unique. Solutions that work for others might not fit your needs.

Free consultations help you understand your options. You can explore bankruptcy without commitment. Professional guidance clarifies complex choices.

Your credit score matters less than your financial stability. Bankruptcy impacts credit temporarily. Relief from overwhelming debt provides long-term benefits.