Monthly Archives: May 2023
How Can I Get My Debt Reduced?
Consumer debt spiked in 2022 to over $16 trillion. Because so many people are stretched so thin, seemingly minor issues, like a temporary income disruption, make a manageable debt load unmanageable. A missed payment or two is almost impossible to make up. Usually, Chapter 7 or Chapter 13 bankruptcy is the best way to… Read More »
Chapter 7 Bankruptcy Explained
Financial emergencies that are almost completely beyond their control, like high medical bills, prompt most bankruptcy filings. Unexpected storms on lakes and oceans often cause sailors to lose control of their boats. Likewise, unexpected storms, like high medical bills, job loss, or divorce, cause many people to lose control of their finances. These storms,… Read More »
What Is The Best Interest Of Creditors Test For Chapter 13?
The formal, written bankruptcy exemptions in Illinois protect most core financial assets. So, the idea that people who file bankruptcy lose most or all of their property is largely a myth. But most of these exemptions are value-based. For example, the motor vehicle exemption protects $2,400 of motor vehicle equity. Informal exemptions, such as… Read More »
What Does A Chapter 13 Bankruptcy Do?
This form of consumer bankruptcy, like Chapter 7, offers a fresh start to honest yet unfortunate debtors. So, bankruptcy doesn’t take care of debts related to fraudulent or illegal conduct. However, it does take care of most debts. Additionally, because of the repayment plan provision, Chapter 13 usually looks better on credit reports than… Read More »