Bankruptcy is often an option that Tennessee residents look to utilize when they cannot pay off their debts. It may therefore seem counterintuitive that one of the most popular forms of personal bankruptcy in the United States requires bankruptcy filers to submit a plan to repay their debts only a matter of weeks after filing their bankruptcy petitions. In this post, readers will be introduced to the Chapter 13 repayment plan and how it may serve their needs to become financially free.
Fear of medical debt high in Americans
Medical debt is a problem for many Americans, and as many as one out of every four individuals struggle to stay current on what they owe to their health care providers. In fact, medical debt is the leading cause of bankruptcy filings in the country, and residents of Chattanooga may know firsthand just how financially crippling unexpected medical bills can be.
Deciding which chapter of bankruptcy is right for you
Making the decision to file for bankruptcy is never easy. Owing a significant amount of debt can be disheartening and overwhelming, and Tennessee consumers who find themselves in this situation may feel like they do not have a way out. For you, filing for consumer bankruptcy could be an optimal way to find relief from your debt and harassment from creditors.
Make informed decisions before taking on additional credit
Spending money on a credit card is easy because the costs of one's purchases do not automatically come out of their bank accounts. In fact, a Tennessee resident may not see the impact of their credit card spending for several weeks after they make their purchases and not until they receive their credit card statements. At that time they may have already forgotten about what they had bought and may have put themselves into a difficult financial situation when it comes to repaying what they owe.
Homestead exemption is higher for older Tennessee residents
One of the biggest fears that a Tennessee resident may face when considering bankruptcy is the prospect of losing their home. Depending upon the form of bankruptcy the person chooses to pursue, they may have to sell off or liquidate some of their possessions in order to pay their creditors. Homeowners know that that their residences are more than piles of wood and plaster: homes are where families grow, memories are made and lives are lived.
