It is no secret that we live in a society that often makes credit readily accessible. And while credit can be a good thing, having access to too much can land us in hot water if we are not careful. If you have taken on too much debt, it may be time to consider your financial options. When you are paying more than you can chew every month, talking to an attorney who is vastly experienced in financial solutions and the law is recommended. A knowledgeable attorney can counsel you on the best path towards financial stability.  

Many who seek debt relief do so through bankruptcy. The decision to file for bankruptcy can be difficult. However, if you are overwhelmed with bills, debt, and living expenses, bankruptcy can be a viable solution. Prior to taking the next step into bankruptcy, it is first wise to consult with a bankruptcy attorney about which bankruptcy chapter meets your needs and objectives. If you have a steady and reliable income, you may not be eligible to file under the most common bankruptcy type, which is Chapter 7. However, you may qualify to file a Chapter 13. For this reason, it is highly advised to consult with a professional Chapter 13 bankruptcy attorney in Columbus, GA.

What Is A Chapter 13 Bankruptcy?

Petitioners who wish to ease their financial debts and burden, but who do not qualify to file for a Chapter 7, are usually eligible to file a Chapter 13 bankruptcy. A Chapter 13 bankruptcy is known as the wage earners bankruptcy. It allows you to reorganize your debts into a repayment plan that spans over a period of three to five years depending on your circumstance and where you fall on the means test threshold. If you have a reliable income source, you could establish a repayment plan that goes toward paying down your debt to creditors. However, before a repayment plan is implemented, it must first be approved by the court. To determine if a Chapter 13 is right for you, talk to a Chapter 13 bankruptcy attorney about your specific case. 

Many petitioners choose to file a Chapter 13 for its advantages. Under a Chapter 13, you are able to keep your house from foreclosure, prevent your car from getting repossessed, and keep assets that would otherwise be liquidated under a Chapter 7 bankruptcy. As long as you make your court-mandated monthly payments, you will not have to worry about creditors coming after your property and assets. It is worth noting that not all debts are dischargeable under a Chapter 13. Like a Chapter 7, Chapter 13s do not allow child support, spousal support, and certain tax obligations to be discharged. However, some secured debt balances can be significantly reduced; and unsecured debts can be fully discharged once the repayment plan is completed. 

The process of filing a Chapter 13 bankruptcy can be complex. If you are interested in filing a Chapter 13, it is best done alongside a skilled Chapter 13 bankruptcy attorney. A proficient Chapter 13 bankruptcy attorney can assess whether this type of bankruptcy is right for you.

If you are finding it hard to pay off your debts and bills, there are options to help relieve the burden of financial stress. At the office of Valerie Long, Attorney at Law, our aim is to assist our clients through a challenging economic time in their lives. Our main focus is to ensure that our clients obtain financial relief and stability as quickly as possible. As such, we are readily available to provide effective solutions tailored to their needs and goals. Your goals are our goals. Allow us to help you transition into the next phase of your life without the stress of excessive debt.