Chapter 13 bankruptcy is a court monitored repayment plan. It helps individuals pay off their debt within 3-5 years and provides the debtor with an alternative to the liquidation process.
Everybody’s financial situation is unique and it’s important to pick the right debt solution for your situation. However, if you are in financial straits, its wise to speak to a personal bankruptcy attorney and explore your options. The bankruptcy attorneys at Hines Law, serving the greater Boston area can help.
To get you started, the following is a brief overview of what Chapter 13 bankruptcy is all about.
There are a few key reasons why individuals choose to file under Chapter 13:
-It is difficult for you to make payments on secured loans such as your home or car and are being threatened with foreclosure or repossession.
-You have a tax obligation or other non dis-chargeable debt such as a student loan. These debts may be included in your repayment plan under Chapter 13.
You want to retain your non-exempt property (assets).
-You have a co-debtor (co-signer) on a personal loan and you want to protect them. Chapter 13 provides protection to the co-debtor as long as the debtor is making payments on a court monitored repayment plan. The creditors can only go after the debtor.
-In Chapter 13 bankruptcy, you pay what you can afford. It allows you to make one monthly payment to a bankruptcy trustee that covers all your debts. It will also keep further interest from accruing on your dis-chargeable debt.
It is a powerful debt repayment plan that can help you become debt free in 3- 5 years and be able to save your home from foreclosure and discharges some of your debt.
If you are looking for a long-term solution to your financial health and current debt and are a wage earner, Chapter 13 personal bankruptcy may be an option for you. The goal of bankruptcy is to provide debtors with a new beginning.
The bankruptcy attorneys at Hines Law are experienced and committed to doing what is best for your situation. We have five locations throughout Massachusetts, including Framingham, Westborough, Leominster, Watertown, and Worcester. Call today to set up your appointment 781-277-0411.