Too much debt for chapter 13? Sounds odd, right? Technically, you are probably over the debt limits for Chapter 13, per Bankruptcy Code Section 109(e). Let's consider where you go from here. Three Options: 1. Reduce Your Debts (to qualify for 13) You will want professional advice on this one, but it can be possible. Example: If you own two houses and the mortgage debt has pushed you … [Read more...]
Category: Bankruptcy Fundamentals
For many, bankruptcy is a mystery. This blog is designed to help shed light on some of the most common questions and issues. Scroll through the blog posts below to see more. While we hope the content is education, you should always consult a bankruptcy attorney for an actual assessment of your specific situation.
Before moving forward, you should understand how bankruptcy may affect your car loan in chapter 13. Halts Repossession Perhaps the most critical, and immediate benefit of a bankruptcy filing, is the "automatic stay." This provision of law prevents your vehicle lender from repossessing or taking any other collection action against you. If you succeed in confirming a Chapter 13 Plan, and then … [Read more...]
That moment of anxiety, when you're not quite sure your car will still be there.... That feeling is all too common for anyone who is behind on car payments. While you sleep, is the lender repossessing? What about while you're working? But for most people, use of a car is an essential part of life. It's your means to get to work. To drop the kids at school. To buy groceries. A lender … [Read more...]
How many people have found themselves feeling the squeeze of a high interest rate car loan? Maybe you're having trouble paying both your credit cards and your car loan. Something's got to give, right? Even if you know you made a mistake buying the vehicle, and want to sell it off for something cheaper, the amount you owe might actually be more than the resale value. You might not even have a … [Read more...]
Two Things To Remember: Debt relief companies are simply trying to make a profit; Debt relief companies can't force a creditor to make a deal. These companies have no power to reduce your debt. (All they can really do is ask. And creditors generally say, "no"). In reality, debt relief companies are focused on the fees you pay, rather than the results they achieve. Individuals are … [Read more...]