Having to decide whether or not to claim chapter 13 bankruptcy is not an enviable position to be in, but it can happen to anyone at any time. Perhaps you were out of work for a while and the bills piled up, but now you have a regular income to help you repay your debts. Whatever the reason, it is important to realize that there is nothing to be ashamed of. You certainly work hard and you really do want to pay your debts, but you had some rough times and now you need someone to help you get the creditors to work with you. One of the most common reasons for filing chapter 13 is because of falling behind on the mortgage. The problem is that even if you have a decent regular income, your mortgage company may refuse to work with you until you pay everything owed in full. You then fall more and more behind each month, to the point of you worrying that you will lose the house altogether.
There are other situations where chapter 13 is the best course of action, such as when you want to protect an asset that would need to be liquidated when claiming chapter 7, or if you have what the court believes to be too much disposable income. A chapter 13 lawyer in Mechanicsburg can go over your case and discuss your options with you.You have enough worry and stress right now, so your chapter 13 bankruptcy attorney can help you negotiate repayment plans with those you owe money to. The chapter 13 repayment plan will be spread out over a period of time, usually three to five years, during which an agreed upon percentage of the debt will be repaid. Chapter 13 can be ideal for those that have the income to repay, as they can avoid foreclosure in most cases.Though it is not an ideal solution for everyone and it is certainly not something to be taken lightly, claiming chapter 13 bankruptcy can be a viable solution to help you repay your debts and get back on your feet. If you’ve tried everything you can think of to try and get ahead but you still feel like you’re getting nowhere, contact a chapter 13 lawyer in Mechanicsburg today.
