A Debt Reduction and Repayment Plan for Wage-Earners
Most people want to pay off their debts. They feel it is the right thing to do. But what if there is just too much debt and the interest, penalties and late fees keep piling up? How can you ever hope to repay all of your debt?
The good news is that Chapter 13 bankruptcy enables you to stop the harassment, the fees and penalties and make a plan for repaying some of your debt. Many people believe that filing bankruptcy under Chapter 13 means paying off all their debt. The fact is many consumers pay back only pennies on the dollar. Almost no one is forced to pay back 100 percent of their debt in a Chapter 13 bankruptcy. For those few who are, there are still benefits, such as reduced interest rates and no late fees.
Every individual's situation is unique, and one of the strengths of the team at Greenwald & Hammond is our ability to guide clients in creating a personalized debt reduction plan that works. Our attorneys have filed and confirmed Chapter 13 bankruptcies on behalf of countless clients in Aurora, Arvada, Boulder, Centennial, Parker and communities throughout the Denver metro area and beyond. Contact us today for a free consultation.
Details of Chapter 13 Bankruptcy
Your repayment plan under Chapter 13 will be based on what you can afford to pay after your normal living expenses are deducted from your income. Although the payment plan is meant to be affordable, it can still be difficult to complete. We always advise our clients to weigh their options. Filing under Chapter 7 may make more sense for some.
Tax debt that is non-dischargeable in bankruptcy can still be paid off during the term of the repayment plan. This will stop fines and late fees. It is also possible to "strip off" a second mortgage, declaring it as wholly unsecured debt and therefore dischargeable, if your home is worth less than the value of the mortgage. In today's troubled economy, this is a real option for many of our clients.
Bankruptcy Is the First Step to a Brighter Financial Future
Restructuring, reducing and repaying your debt is just the first step to rebuilding your finances and your credit. While the process in filing bankruptcy under Chapter 13 is similar for most people, the road to financial rehabilitation is as individual as the clients themselves. The lawyers at Greenwald & Hammond are dedicated to providing personalized support and knowledgeable counsel even after the paperwork is filed, foreclosure is halted, the creditors stop calling and the repayment plan is in place.
Contact Our Denver Offices Today
If you need the advice of a knowledgeable and respected Colorado bankruptcy lawyer who is personally committed to helping clients like you get out from under overwhelming debt, contact Greenwald & Hammond today to schedule a free initial consultation.
