Financial difficulties are a normal part of life, and most people find that they can overcome them with time and effort. However, sometimes economic conditions make it difficult for people to earn enough money to handle their financial obligations. Whether they borrowed more money than they were able to pay back on their current salary, they lost their well-paying job, or they encountered unexpected medical expenses, some people may simply find themselves unable to pay back their debts. When this happens, some people choose to declare Chapter 7 Bankruptcy in Hamilton OH as a way of eliminating their debt and getting a fresh start.
Filing for bankruptcy is often a good option for people who are being contacted by creditors and collection agencies on a regular basis. There are two common types of bankruptcy, chapter 7 and chapter 13. Those who choose to file for chapter 13 bankruptcy are still responsible for partially repaying their debts, and they must have enough leftover income each month to afford minimal payments. For people who cannot make any repayment at all, and who do not have many valuable assets, chapter 7 is often the better option. Chapter 7 bankruptcy is reserved for those in the greatest level of financial distress, and it aims at eliminating most debts altogether with no further repayment.
For chapter 7 bankruptcy, any property that the person owns may be seized and sold by their creditors. In some cases, the property is not worth enough for creditors to bother trying to sell, so the debtor may be allowed to keep it. Also, people will not be left without a home or car so that their quality of life will not be destroyed. In most cases, chapter 7 will eliminate all of a person’s debt. However, bills like student loans, child support and alimony will likely still remain. Meet R. Dean Snyder Attorney for more information on chapter 7 bankruptcy.
When people find that they have accumulated more debt that they are able to repay, filing for bankruptcy is often the only option. Chapter 7 and chapter 13 bankruptcies are available, but those in the most financial trouble will often choose chapter 7 bankruptcy in Hamilton, OH. A licensed bankruptcy attorney will help people determine which action to take to eliminate their debt.