Bolingbrook Debt Repayment Plan Lawyers
Many people can cope with a short interruption in their income, but there are few who can withstand any kind of extended income shortage. If you have experienced a temporary gap in income because of divorce, pregnancy leave, an injury or an unexpected medical expense, Chapter 13 bankruptcy may be the right solution to your debt problems.
At the Joliet and Wheaton offices of the Mitchell Law Group, we help people in Illinois get control of their debts and back on solid financial footing. When you come to us, our Joliet Chapter 13 bankruptcy lawyers will analyze your financial situation and let you know if Chapter 13 is right for you. If you have some ability to pay your debts, chances are Chapter 13 will be a viable option. If you are unable to put any money toward your debts, then Chapter 7 may be a better choice. You can rely on our attorneys to give you the best recommendation about which direction to go.
Chapter 13 Bankruptcy: Restructuring and Managing Debt
Chapter 13 is common. Many hardworking, honest people have used it to restructure their debt and get their lives back on course. So, how does it work?
Essentially, Chapter 13 bankruptcy is a debt reorganization plan. Filing Chapter 13 allows you to reduce your debt and pay creditors back in an organized way over a three- to five-year period. When you make payments, they are applied to your secured debts first such as your mortgage. Only a small percentage of each payment goes toward medical bills, credit cards or other unsecured debt. At the end of the payment plan, your will be considered current on your secured obligations and any remaining unsecured debt gets eliminated, giving you the fresh start you need.
Immediate Benefits of Filing Chapter 13 Bankruptcy
Much like Chapter 7 bankruptcy, there are many immediate benefits that come with filing for Chapter 13. Some of these are:
- Stopping home foreclosure
- Stopping wage garnishments
- Stopping creditor harassment
- Stopping repossessions
- Possibly eliminating second mortgages and home equity loans
Chapter 13 is superior to debt management programs because those programs are voluntary for creditors. Also, creditors can demand immediate full payment even if you are in the program. Filing bankruptcy gives you court protection. Creditors must respect the filing and cannot attempt to collect from someone in bankruptcy.
Call for a Free Consultation 24/7
Contact our law offices today to discuss your debt and the possibility of filing Chapter 13 bankruptcy in Illinois. We offer a free initial consultation by phone or in person. You are able to reach a member of our firm at any time, day or night. You can reach us by phone at 815-207-8607, toll free at 888-689-6042 or contact our law firm online.
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We are a debt relief agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.
