Dealing with the consequences of insurmountable debt is overwhelming and frustrating. The consequences of carrying a lot of debt can reach into various areas of your life, and eventually, you may face threats of serious penalties such as foreclosure or repossession. If you are facing the possibility of losing your Connecticut home because you are behind and you lack the ability to catch up, you may consider the benefits of filing for Chapter 13 bankruptcy.
Bankruptcy is probably not your first choice, but it could be the most practical and beneficial step for your family. Chapter 13 is a plan that allows for the reorganization of your debts, which you will then repay over a period of three to five years. This particular chapter of consumer bankruptcy is a good choice for applicants who are not eligible for Chapter 7 bankruptcy.
There are many benefits to filing for bankruptcy, one of which includes the start of the automatic stay. This halts creditor contact, including phone calls, letters and efforts such as repossession, foreclosure and more. It is possible that Chapter 13 could help you keep your home while you work through the bankruptcy process and pay off balances over time, according to the bankruptcy plan.
If you find yourself unable to keep up with your debts and stop the threat of losing your Connecticut home, you may benefit from learning more about Chapter 13 bankruptcy. This is an important financial step, and you would be wise to know all of your options before you make a decision. When there is much at stake, you have no time to lose in learning about the benefits of bankruptcy.