Top Reasons To File For Chapter 13 Bankruptcy

The Law Offices of Chang and Carlin guide individuals and families through their financial struggles, helping them make a fresh start through Chapter 7 and Chapter 13 Bankruptcy.

People who face extreme financial difficulties have the option of filing for bankruptcy in order to get respite from their financial burdens. However, it is important to make careful assessment of each aspect before one decides to proceed with a bankruptcy case. Each situation is different and so is each chapter of bankruptcy. Therefore, this article will look at the top reasons why Chapter 13 Bankruptcy in Chicago is a popular and effective option.

1.     In case of Missed payments on mortgage or car. If you have missed payment on home mortgage or car loan and you don’t want your home to be foreclosed or your car to be repossessed then you should file for Chapter 13 Bankruptcy. In a Chapter 13 Bankruptcy you will be able to spread out those payments over 36-60 months, and your creditors cannot foreclose on your home, repossess your vehicle.

2.     In case of second or third mortgage. If you have a second or third mortgage on a house that is currently valued at less than the first mortgage, then you should definitely go for Chapter 13 Bankruptcy filing. The bankruptcy judge has the power to completely discharge any additional mortgages.

3.     For loan modification. Banks can take months, even over a year, to decide if they want to give you a loan modification. But, if you can have your Chapter 13 plan confirmed while you await the bank’s decision, as long as you are being making payments equal to 31% of your gross income, which is usually much less than the amount homeowners are currently paying. 

4.     When monthly debts make it hard to pay mortgage or car loans. According to Chapter 13 bankruptcy lawyers in Chicago, in a Chapter 13 Bankruptcy, you will most likely be able to wipe out most of your unsecured debts, like credit cards, so you can put your earnings toward what is most important: your home or car.

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If any of the above cases apply to you then, you should definitely consider filing for Chapter 13 Bankruptcy with the help of experienced Bankruptcy lawyers in Chicago. The experienced bankruptcy attorneys at the law offices of Chang and Carlin will also help you decide your best options during the bankruptcy process.

Our goal at Chang and Carlin, LLP is to change your financial future. To book your appointment or get more information about Chapter 13 and Chapter 7 Bankruptcy in Chicago, contact us at 1-866-790-8601 or Request a Free No Obligation Bankruptcy Filing Consultation Today.

Disclaimer: The content provided by Chang and Carlin, LLP is not legal advice and is purely for informational purposes. The information contained herein is not a substitute for the advice of an attorney and does not create an attorney-client relationship. If you are interested in obtaining information about Chapter 7 Bankruptcy, Chapter 13 Bankruptcy, Foreclosure services, or Real Estate legal services, call our law firm at 1-866-790-8601 for a Free Legal Evaluation. Chang and Carlin, LLP serves clients in Chicago, Schaumburg, Joliet, and Warrenville.