How can Chapter 13 Help You?

For decades, the stigma of bankruptcy has existed throughout the United States. A person who filed bankruptcy was considered to be lazy, greedy, or poor at managing money. In reality, filing for bankruptcy is something that is often a result of unforeseen and unavoidable circumstances such as divorce, serious health issues, or even the loss of a loved one. If you are a person drowning in debt and not sure where to turn, take time to learn how chapter 13 can help you.
End Tax Refund Interception
Each tax season, thousands of taxpayers find out that their anticipated refund has been offset to pay a debt. While in some cases this debt is related to the IRS, in other situations a person losing the tax refund because he or she is behind in paying child support or has defaulted on a student loan. Filing for chapter 13 bankruptcy protection ends collection activities including most tax refund interception actions. This money can then be used by your trustee to pay down your debt or help you manage emergency expenses as long as your bankruptcy trustee approves.
Stop Student Loan Collection Activity
In recent years, student loan debt has grown to eclipse credit card debt in this country. Throughout the United States, young adults find themselves in six-figure debt after attending college to become the next generation of sorely needed professionals. Unfortunately, most of these adults have difficulty finding entry-level jobs in their fields that allow them to pay back their student loan debt while simultaneously supporting themselves financially. Filing for chapter 13 stops student loan collection. While it is not currently possible to erase student loan debt through bankruptcy, filing chapter 13 gives you a unique opportunity to negotiate better payment terms with your lender.
Help You Regain Control of Finances
Perhaps most importantly, chapter 13 bankruptcy gives you a chance to regain control of your finances. A person who is suffocated by debt is rarely able to plan for the future if they are focused on living pay check to pay check always in the red. Once you have filed chapter 13 and are paying one set amount monthly to a trustee to be distributed to your creditors you are able to begin focusing on your financial future. During bankruptcy you are not hounded by creditors, are able to begin rebuilding your credit by having delinquent activity removed, and establish yourself without the stress of dealing with creditors you cannot afford to pay.
Take the First Step
If you are having a difficult time managing your finances and are afraid that your creditors may begin to utilize more aggressive collection activities contact Adam Law Group today. Our legal team is able to help you determine if chapter 13 is your best option and file on your behalf whenever you are ready to move forward. We can help you reduce your debt through bankruptcy while alleviating some of your financial burden. Contact our Jacksonville, Florida office today to schedule an appointment so that we can begin helping you immediately.