Mankato Bankruptcy Tips
For some people, Chapter 13 bankruptcy is the best option to consider when deciding which type of bankruptcy to file. While Chapter 7 bankruptcy discharges people from all of their unsecured debts, Chapter 13 allows you to renegotiate your debts into more affordable payments which you make over the next three to five years. Chapter 13 isn’t for everybody, but it just might be the right option for you. The experienced bankruptcy attorneys at Behm Law Group can help you decide which option is right for you.
Ineligible for Chapter 7
Not everyone is eligible for Chapter 7 bankruptcy. To be eligible, you have to pass the means test, which we have discussed in a previous post . However, Chapter 13 bankruptcy offers you some protection that Chapter 7 does not.
Protect Your Property
If you want to retain your property, such as a house or a car, you will want to file for Chapter 13. While Chapter 7 bankruptcy only discharges debt, Chapter 13 can allow you to reorganize your debt on secured property under much more favorable terms. Also, Chapter 13 allows you to protect property that you might not be able to keep in a Chapter 7 bankruptcy.
Protect Your Conscience
Even though they are in a bad situation through no fault of their own, some people feel guilty about filing for bankruptcy. They want to feel like they have kept their obligations. For these people, Chapter 13 provides the opportunity to reorganize their debt into more manageable payments and may afford them greater peace of mind.
We’re Here to Help
The bankruptcy attorneys at Behm Law Group, Ltd. are dedicated to helping people make these difficult decisions. We can help you decide whether Chapter 7 or Chapter 13 is best for you. If you need help deciding between Chapter 7 or Chapter 13, give us a call.