Many people who are considering bankruptcy are wondering whether Chapter 13 Bankruptcy in Hamilton OH is the right option for them. For many people, the idea of bankruptcy equates to getting rid of all debt. However, not all types of bankruptcy work that way. In a chapter 7 bankruptcy, nearly all debt (with some notable exceptions such as child support and student loans) can be eliminated.
However, with chapter 7 bankruptcy, the bankruptcy filer is allowed to keep the only certain property. For example, a person filing chapter 7 bankruptcy can keep their home, one vehicle, and other basics that they need to live. Chapter 13 bankruptcy might be best for people who want to retain more of their property.
Chapter 13: How It’s Different
Chapter 13 bankruptcy is different because it allows a debtor to keep property beyond what they would be allowed to keep in a chapter 7 bankruptcy. In a chapter 7 bankruptcy, once the debtor has kept their basic property, all other assets must be sold in liquidation. The liquidation proceeds then go to pay off the remaining debt. In a chapter 13 bankruptcy, the debtor is allowed to enter into agreements with their creditors if they wish to do so.
A chapter 13 agreement could allow a debtor to keep two vehicles rather than just one, or it could allow them to keep both their primary residence and a vacation residence. The only requirement is that the debtor is willing to continue repaying their debt in good faith. The debt holder does have the option of refusing a chapter 13 bankruptcy agreement, but as long as a good lawyer is on the case, there is usually no problem with this. Experienced bankruptcy lawyers know how to convince debt holders to work with their clients.
Ready to Get Bankruptcy Help?
In many cases, the debt can be negotiated to a much more manageable level so that the debtor can retain the property they want to keep. For example, the bankruptcy lawyer may be able to negotiate a sharp interest rate reduction for their client. Considering Chapter 13 Bankruptcy in Hamilton OH? To Know more about R. Dean Snyder Attorney, arrange a consultation appointment with the lawyer today.
