Making the choice to file for bankruptcy is not easy. California consumers who face this choice often do so because they feel that they have no other options. While filing for bankruptcy may feel like a last resort to you, it may actually offer you many benefits, including the opportunity to have a future that is free from overwhelming debt.

If you are drowning in debt, you may know that either Chapter 7 or Chapter 13 could be the right path. Depending on the nature of your individual financial situation, Chapter 13 could be the optimal choice for you to reach a better future. Whatever you decide, you would be wise to consider all of your options and seek appropriate guidance before you move forward.

Why Chapter 13?

Chapter 7 bankruptcy is a popular choice for many people, but not everyone who wants to apply is eligible. For some, Chapter 13 is a better choice, even though it typically takes a period of three to five years to complete. The following are reasons why this could be a more beneficial decision:

  • Chapter 13 is the right choice for bankruptcy applicants who do not qualify for Chapter 7 bankruptcy.
  • Chapter 13 is the often the ideal choice for individuals who want to and are capable of paying off their debt over time.
  • This could be the right choice for people who want to stop the foreclosure process against their home.
  • Chapter 13 could be right for people who are facing repossession efforts or who want to keep certain assets that would not be exempt in Chapter 7.
  • This may be the right step for people who have debts related to taxes, marital settlement debts, or debts owed to an HOA or other similar organization.

It is not always easy to know which chapter of consumer bankruptcy is the right one. If you find yourself unable to manage your debts, facing threats of losing your home or in a financial position you can never hope to get out of on your own, you may find it useful to understand how Chapter 13 could benefit you.

A better financial future is at hand

Most people are reluctant to file for bankruptcy, but it could be the right path for you to secure a better, more financially stable future. If you would like to understand more about Chapter 13 or learn more about the legal options available, you have no time to lose in seeking a complete evaluation of your case.