Should You File For Chapter 13 Bankruptcy? Here’s What To Consider

Filing for bankruptcy is never something that you want to do on a whim. You want to make sure that it is something that you truly need, as in, there is no other way to get your finances back on track. As for the chapter 13 bankruptcy, you will need to consider a few things to determine if this particular chapter of bankruptcy is right for you. Here are a few of those things.

Your Income Problems Are Over

People will face trouble with their income and fall behind on their bills for a variety of reasons. You might have been in the middle of a temporary layoff. You might have completely lost your job and had to find a new job. You could have been demoted. You might have had to take time off of work due to an accident or serious illness. 

No matter what the case may be, if you are back to work now and making enough money to support yourself and your regular monthly payments to your debts, then you might qualify for a chapter 13 bankruptcy. Since the chapter 13 bankruptcy will provide you with a repayment plan for your past due debts that can be easier to handle than what the creditors might offer on their own, this can be an easy way to get caught back up.

You Have Property You Want To Keep

It might be tempting to try to file for a chapter 7 bankruptcy and just have all of your debt wiped clean. However, that usually comes with the price of having to give up extra property, such as rental properties, vacation homes, and extra vehicles. If you have those things and you do not want to give them up, you will need to make sure that you are focusing on the option of a chapter 13 bankruptcy. Make sure that you are clearing expressing your wish of avoiding a chapter 7 to your attorney. This way, you will end up leaving the bankruptcy court better off and not with less than you walked in with.

Should you decide that you would benefit from a chapter 13 bankruptcy and you believe that you may qualify for it, you will need to set up a consultation appointment with a bankruptcy attorney. The sooner you do this, the sooner your case can be filed. Before you know it, your financial troubles will be a thing of the past.

For more information, contact a company like Lifeline Legal LLP.