To shed financial stress and obtain a fresh start, many Ohio residents have turned to bankruptcy over the years. The most common bankruptcy programs are Chapter 7 and Chapter 13, so how can you know which is right for your situation? According to Experian, Chapter 13 is considered a reorganization bankruptcy and Chapter 7 is referred to as a liquidation bankruptcy.
If you’ve recently filed for chapter 13 in Ohio, creating a solid budget should be your next step. Adhering to the terms of your repayment plan is a must. If you’re unable to pay according to the schedule you run the risk of having chapter 13 revoked, which means you’ll be responsible for the total amount of debt you owe. To help you get by, U.S. News & World Report offers the following budget tips.
Now that the holidays are over, many people in Ohio are reeling from the amount of money spent on gifts, food, and entertainment. While they’re supposed to be a time of joy, for most the holidays mean overspending, which can bring your dangerously close to financial instability. Experian offers the following advice in this case, which can help your recovery from problem spending over the holidays.
A Chapter 7 bankruptcy offers you the chance to have many of your outstanding debts discharged, freeing you to use your income to re-establish yourself on firm financial footing. Yet this is a privilege not afforded to all. The federal government wants to ensure that people do not abuse the benefits that Chapter 7 bankruptcy protection offers. Therefore, if you want to file for it, you must first qualify. The qualification standards for a Chapter 7 bankruptcy are established by what is known as "the means test."
When a company in Ohio files for bankruptcy, finding a solution and closing stores if necessary, takes time and can often be completed in different phases. For example, depending on the type of bankruptcy protection that is filed, a company could have the option to undergo a reassessment of its finances to pay off lingering debts and reorganize a stronger financial foundation. Others may be required to relinquish assets to pay off debts. Still, there are those who are unable to recover and see the closure of all of its stores with only memories left behind.
When a consumer has a large credit card debt that is being held by a debt collector, one option that may seem attractive is seeking out debt forgiveness. Debt forgiveness generally involves a consumer and a debt collector reaching a settlement under which part of a debt is forgiven.