Chapter 7 or Chapter 13 Bankruptcy - What do you qualify?
When you register for personal bankruptcy, your two options are possible Chapter 7 and Chapter 13, Chapter 7 allows you to cancel the debts, and establishing a Chapter 13 repayment plan to creditors. I would recommend you to Chapter 7, if possible, a file, you will be financially able to recover faster than Chapter 13. Here are some details about the failure:
If 'Most of its debt through a failing economy, not as a business or a small business that keeps your rental property, etc., automatically qualify for Chapter 7 personal bankruptcy. If the property that each value as a camper or a vehicle you do not, your transportation, "collector car" is likely to leave the property in a Chapter 7 registration. A Chapter 7 filingRelief is short enough, usually 90 days. Chapter 13 A of the register until the date of discharge 3-5 years, depending on what the judge decides. If you own the object, and to reaffirm the property to the court, you lose the property to the bank. Do not lose your personal residence registration in Chapter 7, if confirmed by the court and the current account. If you are in a situation where you may not be reverse currentAll payments must be submitted Chapter 13 to be able to renegotiate a mortgage. Consult a bankruptcy lawyer for more details with your situation. Everyone should take a "test medium". Here the percentage of payments and monthly income on average in your state, as they will be forced to file its Chapter 13. Chapter 13 is a plan to repay creditors and requires that you repay the debts over a 3 Years or 5 years time frame. This is a payment to the court, and will be distributed to creditors. Now you can your Chapter 13 payment or can not be less than the monthly debt service that you already do. A Chapter 13 bankruptcy is not complete until you have completed the repayment plan. It will not be able to refinance or get a mortgage again at 2 years after discharge, and not to plan on it for 5 - 7 years. If you are facing foreclosure,> Chapter 13 you may be able to receive payments for a period of time. Outstanding federal tax assessments and liens are not discharged in bankruptcy. For a Chapter 7 bankruptcy, are not obliged to make any further payments until the download is complete. For a Chapter 13 bankruptcy, which could eventually be part of your repayment plan to the court. Student loans will not be erased in a bankruptcy.If they could, everyone would file bankruptcy, when they finish school.
Each situation is unique, and these are very simple pros and cons. Please contact a bankruptcy attorney licensed in your state for them to advise of your situation.
