Consumer Debt Group

How We Help

The Program

Benefits

The Process

Testimonials

Bankruptcy  An Overview of Bankruptcy     Chapter 7     Chapter 11     Chapter 13     Chapter 20     Bankruptcy proceedings     Discharge     Bankruptcy FAQ  Detail Explanations     Disadvantages     Dischargeable Debt     Non-Dischargeable Debt     Taxes     Bankruptcy Basics     Student Loan

Understand Bankruptcy What is the advantage of Chapter 13 over a Chapter 7? A Chapter 13 bankruptcy is ideal for debtors who either have too much income to file for a chapter 7 bankruptcy or have debts that are not dischargeable. Chapter 13 bankruptcy is also ideal for debtors who are behind on their home or business payments. A chapter 13 bankruptcy allows them to make up their overdue payments over time and to reinstate the original agreement. Can all debt be included in bankruptcy? Both types of bankruptcy may get rid of unsecured debts and stop foreclosures, repossessions, garnishments, utility shut-offs, and debt collection activities. Both also provide exemptions that allow you to keep certain assets, although exemption amounts vary. Personal bankruptcy usually does not erase child support, alimony, fines, taxes, and some student loan obligations. Also, unless you have an acceptable plan to catch up on your debt under Chapter 13, bankruptcy usually does not allow you to keep property when your creditor has an unpaid mortgage or lien on it. Also debts incurred in recent months cannot be included. Will I lose everything including my home in bankruptcy? Each state has established exemptions from bankruptcy court and all consumers should review their state exemptions before contemplating bankruptcy. Link to Exemptions By State to check your states regulations. One final point... if bankruptcy is inevitable, keep your head held high. It is not the end of the world... it just feels like it. Even bankruptcy does pass and you should never lower your head because circumstances overwhelmed you. Just learn from your experience. That's all. If I have a cosigner on a loan, will the cosigner be affected by bankruptcy? You should be aware that any cosigner automatically becomes liable for the full amount of a co-signed debt. If this is not what you intend, you should not file or you should make arrangements with the court for repayment. But even debts you do not want included (such as a loan from a friend) must be included since the court does not accept any partiality.

www.consumerdebtgroup.com

Consumer Debt Group, Inc. Copyright 1998 - 2008 Consumer Debt Group, Inc. does not provide any legal representation. Consumer Debt Group, Inc. deals with licensed attorneys and our affiliated law firm has attorneys throughout the nation who are credit card debt settlement specialists. Disclosure  Privacy  Site Map  Courtesy Links