Many hard-working people find themselves facing foreclosure and realize that they must consider all their options if they hope to keep their home. As markets shift constantly and job security is not easy to come by, foreclosure is a reality for Americans in every part of the country.
If you find yourself staring down a foreclosure in Ohio, you may have more options than you realize. Depending on your circumstances and income, Chapter 13 bankruptcy may offer you the opportunity to get your debt under control and keep your home, halting frustrating collections practices and avoiding foreclosure.
For most people, bankruptcy is not the rock-bottom experience they expect. In fact, bankruptcy intends to offer people just the opposite — a clean start that gives them the flexibility and protections to gain control of their finances and author a new chapter in their personal and financial lives. Facing foreclosure may not mean you must forfeit your home, if you qualify for the process and see it through to the end.
The Chapter 13 repayment plan
Debt has a way of growing that makes it seem impossible to get caught up on once you fall behind. This hopeless feeling is not only bad for you, it is bad for your creditors. After all, if you're not paying the debt, they may simply see it off for pennies on the dollar to some third-party collector.
Chapter 13 allows individuals with sufficient income to stop collections tactics and get on a structured plan that pays back owed debts over a reasonable amount of time, typically between three and five years.
Foreclosure is one of the most common reasons anyone considers Chapter 13, because it allows the homeowner to repay their overdue mortgage payments and get back on top of the payment schedule. As long as the homeowner makes the structured payments on time, they typically keep their home and pay their debts off in full, which is a great sense of relief.
Are you ready for Chapter 13?
If you believe that Chapter 13 may meet your needs, don't wait to get started. There is no need to keep enduring collections calls and other tactics while your financial situation only gets worse and your options get fewer and fewer.
With a clear understanding of the bankruptcy process and a strong legal strategy, you can put an end to your foreclosure nightmare and enter into a new season of life with greater clarity for the future.