Arizona consumers could avoid unwanted circumstances such as foreclosure, repossession or lawsuits. The most viable opportunity for avoiding these circumstances is to file a bankruptcy claim. Attorneys in Casa Grande, AZ help consumers start this process by identifying credit counseling courses to fulfill the prerequisites of these cases.
What Are the Benefits of Chapter 13?
The primary benefit of chapter 13 is the automatic stay. The benefit prevents lenders from filing a claim to seize the property. The automatic stay for these cases lasts up to five years. This gives the consumer ample time to eliminate overdue balances and late charges.
The cases allow consumers to set up a payment plan that is more affordable for them. It helps them pay off their debts by submitting one payment each month for all debts. Additionally, they must use their expendable income to pay off any debts that were involved in the claim.
How Do Consumers Qualify for Chapter 13?
The consumer must provide evidence of the income for the previous six-month period. The court uses these records to identify a more accurate annual income. This income must be more than the average household income for the county. If it is below this value, the consumer cannot utilize a chapter 13 claim.
What Does Chapter 7 Involve?
Chapter 7 requires the consumer to sell off assets and property to pay back their debts. The consumer must possess adequate properties to generate the desired value. If they don’t own enough property and assets for the liquidation process, they cannot file.
What Are the Benefits of Chapter 7?
Chapter 7 also provides an automatic stay. This benefit is available for a limited time only as it lasts throughout the duration of the case. This is a maximum of six months.
Arizona consumers could utilize a bankruptcy claim to prevent foreclosure and settle their debts. These opportunities help them settle their debts without issues. They avoid the negative repercussions of delinquent accounts. They could also improve their credit over time. Consumers who wish to evaluate these opportunities should contact bankruptcy attorneys in Casa Grande, AZ or visit the site for more information now.