For the average person, financial help is sometimes hard to find. Most of us are only one health scare or layoff away from needing financial help.
Fortunately, bankruptcy acts as a safety net. It exists to help people.
While some bankruptcy filers are facing an immediate financial crisis, many others have never missed a payment– but they are making very high debt payments each month.
Many people realize they will never be able to save for a home or retirement if they are paying hundreds or even thousands of dollars each month to credit card payments.
In addition to solving immediate financial crises, bankruptcy’s financial clean slate makes it possible to reach other financial goals.
For additional examples of how bankruptcy helps people, please visit: How Can Bankruptcy Help Me? What Kinds of Problems Can Bankruptcy Solve?
If you are considering filing bankruptcy in the near future, there are some steps you should take to prepare. Learn more about bankruptcy planning here: Considering Bankruptcy? Mistakes to Avoid
To get answers to some of the most common questions about bankruptcy, visit our Bankruptcy Frequently Asked Questions section.
Chapter 7 bankruptcy is what most people think of when they hear the word “bankruptcy.”
Chapter 7 is a relatively quick process. The average case takes about 4-5 months from filing date to closing date.
Chapter 13 bankruptcy is sometimes called “payment plan bankruptcy.”
Chapter 13 gives you time to catch up on past due payments for mortgages, car loans, and other assets you want to keep. Chapter 13 also offers additional forms of relief.