Nothing is quite as demeaning as not being able to pay the bills. When a job loss or an extended illness make it impossible to catch up, bankruptcy is an approach worth considering. For some people, opting for a Chapter 13 Bankruptcy in Plainfield IN is the best choice.
Here are a few reasons why.
The Debtor Does Not Meet the Criteria for Chapter 7 Bankruptcy Protection
In recent years, the ability to qualify for a Chapter 7 bankruptcy action has become more difficult. When this is the case, seeking a Chapter 13 Bankruptcy in Plainfield IN is the way to go.
Since the latter is an approach that helps to stop the accrual of interest on past due balances and also provides a way for creditors to eventually be repaid under a court managed schedule, the chances of being approved are much higher.
The Debtor Wants to Repay the Debt
While the means to do so are not readily available, the debtor truly wants to honor the bills that he or she created in the past. After all, they were done with the full intention of honoring those debts. With the help of a Chapter 13, it is possible to come up with a repayment plan that will eventually settle those debts, and allow the debtor to fulfill his or her original intent.
Getting a Fresh Start
Opting for a Chapter 13 also means that all communications will go through the court. Creditors will no longer be making collection calls or attempting to sue to recover the balances owed. Instead, they will receive disbursements from the court on a monthly basis.
In the meantime, the debtor is left with enough of his or her net income to live an equitable standard of life. By living within those means while the debts are being settled, it is possible to get a fresh start and focus on rebuilding financial reserves once the debts are paid in full. For people who see no way to manage their debts effectively, Contact The Wright Law Group of Indianapolis. Learn more about the different kinds of personal bankruptcy and what they can accomplish. In a short amount of time, it will be possible to choose the most practical course of action and begin to look toward a brighter financial future.
