People sometimes think that declaring bankruptcy in Tennessee means losing everything. In actuality, it can be a way to save some of your larger assets, such as your car or your home.
The thing is, a bankruptcy filing puts a stay on other legal proceedings. If your home is in foreclosure, for instance, or your car is going to be repossessed, those cases have to grind to a halt while you’re working out the bankruptcy case. In the most basic sense, this buys you time.
It can also entirely save those assets. Chapter 13 bankruptcy is designed to set up a payment plan. All of your debt is considered and monthly payments are set. You then make those new payments and you can reduce your debt. This new plan could cause your lenders to stop trying to take your assets, knowing that you’re now going to pay them off — even if it’s a new, affordable plan.
Plus, getting your finances in order makes the money you do have go farther. If you’re behind on basic payments to put food on the table and keep the heat on, you could stop paying for big things like the home or the car. You feel you have no choice. When the other debt is resolved, it makes it easier to make all of your payments on time, so the lenders won’t want to take your assets back. Remember, they’d rather have you pay!
To learn more about how this helps and how you can do it, we ask you to come visit our site today, where we have a lot of useful bankruptcy information.