Debt can become a nightmare to deal with, especially when a person has lost their income due to an unexpected job loss, injury, or illness. When debt is unmanageable, there are legal options that can stop the progression of collection and help a person overcome their financial issues so they can start afresh. It is especially important homeowners who are in danger of losing their homes to foreclosure seek help with chapter 13 bankruptcy in Cincinnati, OH.
Understanding the facts about chapter 13 empowers individuals to seek help:
Any individual, even one who owns a small business, may apply for chapter 13 as long as their debts do not exceed the current limits according to 11 U.S.C. § 109(e). The amount of debt allowed is adjusted from time to time, according to changes in the consumer price index.
* Before being approved for any type of bankruptcy, an individual must attend credit counseling through an approved counseling company. This must be paid for by the applicant.
* The fees for filing for bankruptcy vary by state but are generally around $300. This does not include the fee for hiring a lawyer to help with the bankruptcy.
* Chapter 13 can help a person prevent the loss of their home through foreclosure, giving them time to catch up on their mortgage payments in arrears. The chapter 13 petition must be filed before foreclosure proceedings begin.
* Along with the chapter 13 petition, applicants must also file a repayment plan which outlines how they plan on managing their debts during the bankruptcy period. This repayment plan must be approved by the judge.
If you are dealing with more debt than you can handle, bankruptcy may be a helpful choice to get you out of your financial mess. If you are in danger of losing property because of your debt, you must contact a lawyer right away so you can see if you are eligible for chapter 13 bankruptcy in Cincinnati, OH. To learn more about how a lawyer can help you with your debt, click here. There is no reason to continue to deal with the stress when there is legal help available.