Wisconsin consumers who are struggling with debt know how stressful and difficult it can be to deal with unpaid balances and pressure from debt collectors. If you are facing this situation yourself, you may understand that bankruptcy could offer you a way out. However, the decision to go ahead and file is not an easy one to make.
Dealing with unmanageable debt, missed payments and harassment from creditors can be overwhelming, leaving you feeling hopeless. When you are in debt, it may feel like there is no way out, but in reality, Wisconsin residents have various options available to them. You may know that you could file for either Chapter 7 or Chapter 13 bankruptcy, but for many consumers, Chapter 7 is a beneficial choice.
Debt does not discriminate. Whether your income is $25,000 or $125,000, you may still find yourself struggling to make ends meet. People whose income exceeds $100,000 often worry that they will not be eligible to file for bankruptcy. The good news is there are options. Understanding how bankruptcy works and what alternatives are available is the first step.
Last time, we began looking at a recent case from the Seventh Circuit Court of Appeals in which the court ruled that the U.S. Bankruptcy Code allows a trustee is to petition the court for repayment plan modification after the plan has already been completed. As we noted, the ruling allows the bankruptcy court to find that the debtor is in default if additional payment is due, which can lead to several results.
We've been looking in recent posts at the process of modifying a Chapter 13 repayment plan and the grounds for doing so under the U.S. Bankruptcy Code. As we noted, either creditors or debtors may petition the bankruptcy court to modify a repayment plan, but so may the trustee in the case.
In our last post, we mentioned that there are various reasons why a party might want to modify a repayment plan after it has been confirmed. Here we wanted to look a bit at some of the potential reasons such a modification would be sought. Under the Bankruptcy Code, there are actually several clearly defined reasons a party would be allowed to seek a modification, whether it is the debtor, a creditor, or the trustee in the case.
In Chapter 13 bankruptcy, getting the repayment plan right is an important matter. The repayment plan must not only serve to pay back creditors, but it must also be feasible for the debtor. Although courts are guided by specific criteria in establishing a repayment plan, sometimes it is necessary to seek amendments and modifications of repayment plans.
Last time, we commented briefly on one of the most common myths regarding bankruptcy: that it is the easy way out or lazy way to deal with burdensome debt. As we noted last time, though, the vast majority of those who file for bankruptcy do not do so as anything other than a last resort. In addition, the bankruptcy requirements are such that those who meet them are generally in a position where they cannot handle their debts on their own.
While more Americans than ever are able to pursue higher education nowadays, the costs of education continue to rise and the availability of high paying jobs has not kept up with the demand. Because of this, student loan debt is a major problem for many Americans.