Chapter 13 Bankruptcy Essay
Best Los Angeles Bankruptcy Attorney
Individuals face critical financial situations from time to time in life. Sometimes, when things go out of hand due to increasing credit card bills, unpaid loans and mortgaged property issues, it is time to find legal alternatives so that a debtor may not lose his or her property to the bank. A Los Angeles bankruptcy attorney who has many years of experience in the legal field will be able to help eliminate debts and come back to a debt free life.
Many customers have a wrong opinion that filing for bankruptcy could irrevocably damage their credit history. However, banks and credit institutions actually see them as the first step towards repaying a loan. It boosts an individual’s credit rating as soon as one files for chapter 13 bankruptcy because it proves their commitment to repaying the loan and securing their property. …show more content…
Chapter 13 bankruptcy is not for people who have credit card bills or medical loans because they fall under the unsecured category. This is a reorganization method in which the bankruptcy attorney Los Angeles will speak for the debtor so as to get at least three to five years of repayment time. The debtor gets additional time to clear his or her past dues by making payments to the bankruptcy trustee. Chapter 13 helps an individual remove a second lien if there are two different liens on the same property, when the first lien has almost become an equivalent of the current property …show more content…
There are certain criteria that has to be met before anyone could file for bankruptcy. Each chapter has different requirements. When filing for chapter 13, the individual has to prove that they have a reliable income stream to repay the debt within the specified time. If one’s income is too low to cover the deb tor if the lien is too high, a bankruptcy cannot be filed. The maximum secured debt value allowed by the court is
Individuals face critical financial situations from time to time in life. Sometimes, when things go out of hand due to increasing credit card bills, unpaid loans and mortgaged property issues, it is time to find legal alternatives so that a debtor may not lose his or her property to the bank. A Los Angeles bankruptcy attorney who has many years of experience in the legal field will be able to help eliminate debts and come back to a debt free life.
Many customers have a wrong opinion that filing for bankruptcy could irrevocably damage their credit history. However, banks and credit institutions actually see them as the first step towards repaying a loan. It boosts an individual’s credit rating as soon as one files for chapter 13 bankruptcy because it proves their commitment to repaying the loan and securing their property. …show more content…
Chapter 13 bankruptcy is not for people who have credit card bills or medical loans because they fall under the unsecured category. This is a reorganization method in which the bankruptcy attorney Los Angeles will speak for the debtor so as to get at least three to five years of repayment time. The debtor gets additional time to clear his or her past dues by making payments to the bankruptcy trustee. Chapter 13 helps an individual remove a second lien if there are two different liens on the same property, when the first lien has almost become an equivalent of the current property …show more content…
There are certain criteria that has to be met before anyone could file for bankruptcy. Each chapter has different requirements. When filing for chapter 13, the individual has to prove that they have a reliable income stream to repay the debt within the specified time. If one’s income is too low to cover the deb tor if the lien is too high, a bankruptcy cannot be filed. The maximum secured debt value allowed by the court is