You Got Chapter 13 Bankruptcy!
Based on your quiz responses, we think Chapter 13 Bankruptcy may be the best option for you.
Chapter 13 Banktupcty is a common way to clear debt get a fresh start. If you'd like to learn more about how Chapter 13 could change your life, contact us for a Free, No Pressure, No Obligation Consultation.
To learn a bit more about how Chapter 13 Bankruptcy can help you, read on to learn a few of it's top benefits.
10 Benefits Of Chapter 13 Bankruptcy
- Protects Non-Exempt Property from Sale: You will not be forced to sell non-exempt property if you agree to make payments instead.
- Offers Another Option: If your income is too high, you will not qualify for Chapter 7 Bankruptcy, but Chapter 13 Bankruptcy might be an option that can offer you the protection that you need.
- Reinstates Your License: If your driver’s license was suspended for driving without insurance it will be reinstated after you file for Chapter 13 Bankruptcy.
- Makes Paying a Tax Debt Easier: Chapter 13 Bankruptcy will give you three to five years to pay your tax debt and may allow you to avoid additional penalties and interest charges.
- Stops Foreclosure Proceedings: If your lender started foreclosure proceedings against you, a Chapter 13 Bankruptcy will stop them. You will have the opportunity to catch up on your past due payments, and after the bankruptcy period is over, you can resume making your monthly payments as if you had never fallen behind.
- Keeps Your Creditors from Pursuing Your Co-Signers: If you can make your payments on time under a Chapter 13 Bankruptcy plan, those who co-signed loans for you can be protected from your creditors.
- Stops Creditor Calls and Letters: Once your Chapter 13 case is filed all creditor calls and correspondence must stop. If a creditor violates this then they could be held in contempt of court.
- Avoids the Repossession of a Car: Chapter 13 Bankruptcy will allow you to catch up on your car payments so that you can avoid repossession and keep your car.
- Protects Your Credit Score: Chapter 13 damages your credit score less than Chapter 7 because you are making an effort to pay a portion of your debts.
- Discharges a Second Mortgage: Your lender can sue you for what is owed on a second mortgage even if a sale of your home would not net enough money to pay the first mortgage. Under a Chapter 13 Bankruptcy, you will make payments while the plan is in effect, but the second mortgage will be discharged after the plan is completed.
Why Not Chapter 7 Bankruptcy?
Based on your answers, Chapter 7 Bankruptcy doesn't look like the best option for you. Chapter 7 is best for people who don't exceed State income eligibility requirements. In Chapter 7, all non-exempt assets are surrendered for liquidation and distribution to creditors. The case is opened and closed within 3 to 6 months, and you ultimately emerge debt-free except for a mortgage, car payments, and certain other types of debts, such as student loans, recent taxes, and unpaid child support. Then the money from liquidation is split among your creditors, according to priority established by the Bankruptcy Code.
It's best not to rule out this option, however, until you've consulted with an attorney about your eligibility for either Bankruptcy chapter.
Free Initial Bankruptcy Consultation and Reasonable Fees for Illinois Residents
Determining the best course of action is the first step to eliminating your debt, and at Suburban Legal Group PC, we’d love to help! Our bankruptcy attorneys are sensitive to the difficult time you’re facing and we offer Chapter 7 Bankruptcy and Chapter 13 Bankruptcy filing services to Chicago area residents at reasonable fees to help you through this challenging time in your life.
Our goal at Suburban Legal Group PC is to change your financial future. Request a Free, No Obligation Bankruptcy Filing Consultation Today.