When debt becomes so overwhelming that it starts to affect your home, income, vehicle, and even your daily life, Chapter 13 bankruptcy can offer a structured path to financial stability. An experienced chapter 13 bankruptcy lawyer can explain the protections and repayment options that may be available to you. The automatic stay in bankruptcy can stop creditor collection efforts, wage garnishments, foreclosure activity, vehicle repossessions, evictions and certain lawsuits for a period of time depending on the case. It may also offer a way to resolve qualifying credit card balances, medical bills, utility issues, and other eligible debts through a court-approved plan of repayment. Chapter 13 can also assist those with certain tax obligations, penalties, second mortgages, liens, and student loan problems, but the way those are handled depends on the type of debt and personal circumstances. But when the legal requirements are met, the bankruptcy court may provide you with specific tools for dealing with certain liens. The Massachusetts Bankruptcy Center can help clients understand their options for debt relief and understand their responsibilities better. Successfully completing a bankruptcy plan can also be an opportunity to move forward financially and begin rebuilding credit over time. If collection pressure is getting to be too much for you to handle, talking to an experienced chapter 13 can help you decide whether bankruptcy is a viable option for a new beginning.
