Facing Foreclosure? Chapter 13 Bankruptcy Can Help

There are many people across the country that are facing rough times in their lives due to the state of the economy. Many jobs have been downsized and even eliminated. Foreclosure has spread across the country claiming new victims daily. Many people feel like they have no choice but to accept the fact that they have lost their homes due to circumstances beyond their control. The banks say they will help people that fall behind in their payments but there is only so much they can do.

Chapter 13 bankruptcy is an option that many people are afraid to consider. They think they will lose all that they have anyway so why bother. This is simply not the truth. When you are faced with a foreclosure, a chapter 13 bankruptcy may be just what you need to get you through the tough times and back on the road to financial stability.

A Chapter 13 bankruptcy allows you to pay off your debts for just pennies on the dollar. Once you have filed for bankruptcy, there is an order put in place that ends all harassing phone calls from creditors and that protects your home from foreclosure. As long as you continue to follow the steps involved in the bankruptcy filing you can stay in your home and get back on track.

In order to file Chapter 13, you must make a list of all creditors to which you owe money. This includes any old debt that has been following you around for years like old medical bills. You should include any loans, both secured and not secured, and the total amount that you are behind on your mortgage. All of these bills will be considered in the Chapter 13 bankruptcy. If your home is currently in foreclosure, you can halt all proceedings and let the government negotiate a payment schedule for you.

You may also decide to include any auto loans that you have. If you have had poor credit in the past and are paying a very high percentage rate on your vehicle loan, including it in the bankruptcy is a great idea because you will likely receive a lower interest rate and the payments will be included in your monthly Chapter 13 bankruptcy payment. This will all depend on the age of the vehicle and how much you owe on it but a bankruptcy attorney can give you all of the details.

Your bankruptcy attorney will calculate the total amount that you owe out to your creditors and any funds that will stop the foreclosure and will come up with a repayment plan. They will allow you money out of your income to live on and to pay your daily and monthly expenses like your utilities and the rest will be paid to a trustee that will apply the payments as needed. Your creditors will be sent a notice that you have filed for Chapter 13 bankruptcy and they will be given a deadline to submit their claim. If they miss the deadline, they miss their opportunity to collect and the bill will be cleared without payment.

Foreclosure is a monster that can be beat. Chapter 13 bankruptcy is one means to remove the threat and to relieve some pressure while you overcome the obstacle that got you into this position. It is nothing to be feared, and can actually give you a sense of relief.

Bankruptcy Car Loan – To Regain the Lost Credit

Have you just filed for bankruptcy and still feel the need to own a car? Well you are not wrong in your thinking and definitely not the only one in the league. You are like those who have already gone through this phase and ended up owning a car, all you will have to look for is a bankruptcy car loan.

Nowadays getting a bankruptcy auto loan is not that difficult. If you believe that after filing bankruptcy, your life and credit has come to a standstill. Believe me; you are going through the emotional set back associated with bankruptcy. And you can actually take care of your need for a car by availing bankruptcy auto loan.

After bankruptcy, every person has their different circumstances and conditions and no two of them may have the same problems. So it depends on their unique situation and unique solutions. Some may need a co-signer, whereas another person may not require it.

But how will a bankruptcy car loan help you? It is simply a boon to build your credit after bankruptcy. If you are in the middle of a bankruptcy or have just filed it, you fall in the category of high risk borrower. Due to this lenders will be a little pessimistic as whether to give you a loan or not. Yet lenders will offer you bankruptcy auto loan at a rate higher than the other auto loans, their higher rates of interest is justified. The rates of interest depend on the lender and keeps on varying.

You can apply for bankruptcy vehicle loan at any time even when you in the mid of bankruptcy period. While some lenders ask you to wait until your bankruptcy has been completely discharged, some may actually give it you even when your case is in progress. It all depends on the choice you have made for your lender and dealer. It is so because your bankruptcy records stays in your credit rating records for a very long time say, seven to ten years.

You will have to go to each of the dealers in your neighboring areas to find out about the offers on bankruptcy auto loan. Or else you can try online to find some of the best offers. You can compare the rate quotes over the internet and apply accordingly. You will readily get to know if your bankruptcy car loan has been approved or not within matter of minutes.

The benefit of online application comes to light when you consider credit unions. Things which would have taken minute online will actually take days and weeks to get done in case of credit unions. And at the end of your restless waiting for days to come, you will get to know only whether your bankruptcy automobile loan has been approved or not.

Whether you choose online solutions or visit to walk down to a solution, make sure you are aware of what you are getting into. And if properly handled, it can actually help you to improve you own credit ratings.