When the amount of debt a person accrues grows to unprecedented levels, it will often cause an entire family to experience anxiety and stress as it gets more complicated to make ends meet. Rather than living a life full of calls from creditors and garnished wages, more consumers are choosing to file for Chapter 11 Bankruptcy in Wellington FL. While it is not a complete debt forgiveness program, it is designed to help a family regain control of their finances and take control of their debt once and for all.
Debt Listing
Any bankruptcy proceeding starts with a visit to an attorney. To begin, they will need a complete listing of a person’s assets and debts, as this will allow them to determine if a person qualifies for this type of debt relief. Be sure to provide the legal professional with a complete listing of any investment accounts or property owned, as well as a list of any lines of credit or other forms of secured loans.
Petition to the Court
With all of the documentation in hand, a lawyer will then submit the required filings to the court to initiate a Chapter 11 Bankruptcy in Wellington FL. Once it is received by the court, it is later sent to all of the creditors for their review process. The judge will then determine if a person meets the requirements to file for bankruptcy and give the named creditors an opportunity to appeal the bankruptcy filings.
Structured Repayment Plan
Once all of the information is received and the appeal period is expired, the judge will then create a structured repayment plan. Instead of paying creditors individually, a person will instead pay one payment that is then distributed to each of the creditors based on the percentage of debt owed. In most cases, balances will stop accruing interest, and as long as payments are made on time, the obligations are considered satisfied at the end of the payment plan.
If a mountain of debt is causing a family to feel overwhelmed, it may be time to reach out for help. The Law Offices of Sean I. Koplow provide individualized support and will help a person determine which type of bankruptcy is best for their needs. Click here to learn more and take the first step in gaining financial freedom.
