The Biggest Benefits of Choosing Chapter 13: Find a Chapter 13 Bankruptcy Lawyer in St. Cloud
Wishing your problems away won’t solve anything. When you have serious financial problems and debts that are simply beyond what you can pay, it’s time to take a different approach. Sometimes, it is just better to swallow your pride and admit that filing for bankruptcy could be a good idea.
What Is Chapter 13?
Chapter 13 is a type of bankruptcy available to individuals that features a repayment plan. The plan allows the debtor to pay back some or all of what they owe over the course of several years. The amount paid back is often much less than what was owed on the debt. Creditors may not always be happy with the results, as they are not getting the full amount that they feel was owed to them. However, once the court installs the repayment plan, the creditors need to abide by it.
Chapter 13 is different from Chapter 7, which essentially wipes out the debtor’s unsecured debt. Still, many people feel that Chapter 13 is a better option for them. Let’s look at some of the biggest benefits that can come from this form of bankruptcy.
It is More Affordable
When you use Chapter 13, you will have your debt consolidated into a single monthly payment which may be more affordable than what you were paying separately before. Creditors are required to accept the bankruptcy plan as long as it complies with the bankruptcy code. This allows people who are in serious amounts of debt to reduce the overall amount they owe. Often, they will only have to pay back a fraction of what they owe.
It Will Go Through a Trustee
When you file for Chapter 13 with a bankruptcy lawyer in St. Cloud, you will also find yourself working with a trustee. The trustee is the person who is overseeing the case and who collects the payments you make. They will then disperse your funds to the creditors. This means you no longer have to worry about dealing with the creditors at all.
You Can Keep Property
One of the other benefits of choosing Chapter 13 is that you will often be able to keep the property. Even if your home is facing foreclosure, you can often keep the home when filing Chapter 13. You can make up those payments. The same can be true of your vehicle if you are behind on your car payments. In some cases, you might even be able to pay for your car at fair market value rather than the amount owed on the vehicle.
You Could Convert to Chapter 7
When you file Chapter 13 bankruptcy with a lawyer in St. Cloud, you will typically be on the repayment plan for between three and five years; however, you do have the right to voluntarily dismiss your case. You also have the right to convert the case to a Chapter 7 bankruptcy if you qualify. This could be a good option for some individuals. You will want to talk with your attorney about the best course of action when it comes to filing.
Determine What Is Right for You
Everyone is in a different financial situation. If you have a lot of debt and you are getting behind, it could be time to consider bankruptcy. If you have the income to pay some of the debt and you don’t want to try a debt consolidation program, Chapter 13 could be an option to help with your financial woes.
Choose a Great Chapter 13 Bankruptcy Lawyer in St. Cloud
If you want to make finding the perfect attorney to take your case as easy as possible, look no further than Orlando Law Group. You can call (407) 512-4394 to get in touch with us and learn more about filing your bankruptcy case today. The sooner you act, the sooner you can deal with the debt you are facing.
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