Pennsylvanians who are facing substantial debt with no clear way of paying it will inevitably have concerns about what the future holds. This is especially true for older Americans 65 and above. For them, the idea of not paying their debts can be a frightening thought with feelings of failure and a belief they are not adhering to their responsibilities. However, as time passes, more and more older people are seeking to use bankruptcy to restructure debt and get back on stronger financial ground. Recent research indicates just how many older people are turning to personal bankruptcy.
Pennsylvanians who find themselves deep in debt with seemingly no way out are wise to consider the benefits of bankruptcy. For those who have property they want to keep such as a home or a car and earn regular income, Chapter 13 is often the preferable option. The difference between Chapter 7 and Chapter 13 is that Chapter 7 is a liquidation in which the debtor's property is sold to pay debts. With Chapter 13, that is not the case. The repayment plan is often a concern for people thinking about Chapter 13.
When a Pennsylvanian has financial problems that he or she cannot get out from under and would like to clear them, personal bankruptcy is a viable and legal option to do so. For those with significant unsecured debt and little property, the most common alternative is Chapter 7. There are many terms and participants that are part of a Chapter 7 filing, but one of the most important is the Chapter 7 trustee. The trustee plays a vital role in the case and it is wise for the debtor to know what the trustee does before moving forward.
When a Warrendale debtor decides to take the steps necessary to get back on stronger financial ground and would like to ensure that he or she can keep certain possessions like a home or an automobile, they will choose Chapter 13 bankruptcy. While this is a wise step, it is also important to understand the various requirements and obligations the debtor will need to fulfill to make the plan successful. Failure to do so can sabotage the plan and prevent its completion.
Pennsylvanians who are in debt and do not know how they will get back on stronger financial ground are wise to consider bankruptcy. Many benefits of personal bankruptcy are relatively well-known. That includes the chance to discharge debt, restructure debt and put a stop to creditor harassment. One part of the process that should also be understood and will likely help the debtor feel better about the situation is the automatic stay. Understanding the automatic stay and how it helps is important before filing for bankruptcy.
Financial problems in for Pennsylvanian can occur for a variety of reasons in their personal and professional life. While it might seem like an act of avoiding one's responsibilities and not paying what is owed, bankruptcy is a useful strategy to get back on stronger financial ground, clear many debts, keep a home and a motor vehicle, or get a business into a better situation to move forward. Understanding which bankruptcy chapter is preferable for the individual situation, which debts can be eliminated, and how bankruptcy can be beneficial is imperative before taking the next step.
When Pennsylvanians are struggling financially and decide that they would like to file for bankruptcy, the chapter under which they file will hinge on their individual circumstances. To keep your home or keep your motor vehicle it is wise to think about a Chapter 13 repayment plan. Since Chapter 13 is considered a "wage earner's" plan, those who file for Chapter 13 will usually have income and the ability to make payments. It is essential to understand exactly what must be done to succeed with the plan.
Pennsylvanians who are experiencing financial trouble and use bankruptcy to get back on stronger ground might run into trouble again. This does not imply that they have done something wrong or they are irresponsible. Myriad issues can arise leading to people having financial struggles and needing to consider filing for one form of bankruptcy or another to discharge debt. Just as in the initial case, job loss, medical costs and other factors can come up. A question that people will often have is whether they can file for bankruptcy a second time and when. Knowing the details of how this can be done is essential to a successful filing to again move forward free of debt.
Pennsylvanians who are facing significant debt and have no reasonable way to get out of it might consider methods to get into a better financial situation. For many, personal bankruptcy is not something they are willing to think about because of the stigma they believe is attached to it. Along with the misconceptions about the process, they also think that they will lose everything including their motor vehicle and home. However, with Chapter 7 bankruptcy, the reality is that you can keep your home and keep your motor vehicle provided the criteria for the filing is met.
For people in Pennsylvania who are filing for bankruptcy, the circumstances will dictate which chapter they will use. While Chapter 7 is a liquidation and is often viewed as the easiest course of action, some debtors want to keep a home and a motor vehicle. They are also wage earners meaning that the courts will steer them toward a Chapter 13 bankruptcy instead. With Chapter 13 there are repayment requirements. However, the debtor might not fully understand certain aspects such as how the repayment plan is structured, how much must be paid, how long the payment plan will last, and what happens if the payments are not made.