Understanding Chapter 13 Bankruptcy And Its Benefits

Filing for bankruptcy can be a difficult and overwhelming decision. However, in some cases, it may be the best option for a fresh start. Chapter 13 bankruptcy allows individuals with regular income to keep their property and pay off their debts over time in a manageable plan. In this article, we will discuss the benefits of filing for Chapter 13 bankruptcy and answer the question on everyone's mind: will filing for Chapter 13 bankruptcy affect my job?

Benefits Of Filing For Chapter 13 Bankruptcy

1. Save your home from foreclosure: If you are behind on your mortgage payments and risk losing your home, Chapter 13 allows you to catch up on your missed payments through a payment plan over three to five years.

2. Reorganize your debts: With Chapter 13 bankruptcy, you can restructure your unsecured debts, such as credit card debt and medical bills, into more manageable payments.

3. Protect cosigners: Chapter 13 bankruptcy protects your cosigners from collection efforts and guarantees that they won't be held responsible for the debt.

4. Stop creditor harassment: As soon as you file for Chapter 13 bankruptcy, an automatic stay goes into effect, which stops all collection efforts, including phone calls, letters, and lawsuits.

5. Improve your credit score: Chapter 13 bankruptcy allows you to pay back your debts over a period of time, and once you complete your payment plan, your credit report will reflect this, providing you with a fresh start.

Will Filing For Chapter 13 Bankruptcy Affect My Job?

Filing for Chapter 13 bankruptcy will not affect your current employment status. However, there are certain types of jobs, such as those in law enforcement or finance, that may require a security clearance that could be affected by bankruptcy. Additionally, employers may perform credit checks as a part of their hiring process, which may result in the bankruptcy showing up on a credit report. However, employers cannot terminate or discriminate against an employee for filing for bankruptcy.

At The Law Office Of Calvin Craig, We Can Assist The North Carolina Public With Bankruptcy Matters

The process of filing for Chapter 13 bankruptcy can be complicated, and it helps to have a skilled bankruptcy attorney on your side. Our office has years of experience helping clients throughout North Carolina navigate the bankruptcy process. We'll work with you to determine if Chapter 13 bankruptcy is the right option for you and create a payment plan that fits your unique situation.

Despite the negative connotations that come with bankruptcy, it can be a positive step towards a fresh start. Chapter 13 bankruptcy can help you keep your home, restructure debts, and provide an opportunity to improve your credit score. If you're considering filing for bankruptcy, don't hesitate to reach out to The Law Office Of Calvin Craig. Our experienced team can provide the guidance and support you need to get back on track.