Many people fall behind on their debt payments due to situations beyond their control. If you're facing overwhelming financial difficulties for any reason, you may be able to file for Chapter 13 debt relief. This is different from filing for Chapter 7, which allows for a liquidation of your assets and a discharge of all or most of your debts. Filing for Chapter 13 is a way to restructure your debt, continue to pay it off and perhaps get some relief from certain obligations.
Different types bankruptcy may be appropriate depending on an individual's situation. If you are endlessly stressed about your financial situation and concerned about which debt relief alternative may be the best for you, there are different factors that you should take into consideration before pursuing an option. Chapter 13 bankruptcy, often referred to as the reorganization or wage earners bankruptcy, is when specific assets from an individual are surrendered to pay a debt.
Filing for bankruptcy is a big decision. Many people may suffer financial hardship for a variety of reasons, from costly medical bills to job loss, and can find themselves looking for debt relief through filing bankruptcy. While filing is a freeing in some ways, such as not having to worry about bill collectors calling during dinner, or while you are at work, it can also mean taking a setback to your credit score. Although the thought can seem a bit scary, it isn't the end of the world and it is possible to rebuild your credit after bankruptcy.
If you have been having financial difficulties, you have most likely been feeling fear, uncertainty and even shame. At a certain point, it seems like the problem has gotten so bad that you can't see a way out of it and are faced with an overwhelming amount of stress and questions you can't answer. It doesn't have to be that way. The truth is that many Americans have found themselves with large amounts of debt for a variety of reasons. Whatever the reason, there are options for you and there is a way out of your current situation.
For people already experiencing the stress of having high credit card debt, the holiday season can be a nightmare instead of magical. The pressure of buying gifts for family and friends can only add to the stress of how to pay for all of those presents on top of credit card bills you already have trouble paying.
People find themselves overwhelmed with debt for a variety of reasons. No matter what the cause, anyone struggling with debt and in danger of debt collection proceedings may begin to feel hopeless. This is natural, but it is important to know that debt is not insurmountable or a bottomless pit that you can't climb your way out of. There are options available and a variety of solutions for your debt problems, which can help you keep your car. The right solution for you will depend on your personal circumstances and eligibility.