A Chapter 13 bankruptcy is a way that you can reclaim your finances if you are too deep in debt. In this form of protection, you will have to make payments to the bankruptcy trustee. These are used to pay off some of the debts that you owe.
During the process, a payment schedule is set. You must abide by this so that your case can be discharged. Any balances on accounts that remain at the time of discharge are forgiven. This can have a negative impact on your credit report, but it might not be the drastic impact that you think it will be.
We know that most people who have debts they can’t continue to pay probably feel bad about not meeting their obligations. This is one thing that they might appreciate about Chapter 13 – they get to repay a good portion of what they owe.
There are some benefits that can make your life easier when you file for bankruptcy. The automatic stay prevents creditors from trying to collect money from you on the covered debts. This helps give you peace while you work to try to rebuild your new financial life.
Some people might think that the education courses you have to take aren’t a positive aspect of bankruptcy, but they can be if you open your mind. You can learn a lot about how to handle your finances if you pay attention. This can help you enjoy a positive experience with your money in the future. We are here to work with you to get the bankruptcy process started.