subject: Shift In Attitude Towards Bankruptcy [print this page] Shift In Attitude Towards Bankruptcy Shift In Attitude Towards Bankruptcy
As Americans come to terms of facing a very grim reality with respect to the economy, Southfield bankruptcy lawyers are busier than ever processing personal bankruptcy claims. Concrete evidence of souring foreclosure, divorce, and unemployment rates has contributed to the shift in the American attitude toward bankruptcy that has made it somewhat more acceptable today than in the past. Southfield bankruptcy lawyers have, in many cities around the country, experienced a gradual shift as chapter 7 bankruptcies are exceeding the amount of chapter 13 bankruptcy cases being filed. Southfield bankruptcy lawyers may attribute one of the reasons for the change in chapter to the provisions that each chapter allows for. For example, chapter 7 is simpler if you have debt that you want to get discharged but not necessarily assets that you are looking to protect. This is usually reserved for unsecured debt and referred to as chapter 7 liquidation. If you do however own land, property or other assets, and you want to protect your ownership of those assets then a chapter 13 filing may be more appropriate for you. A chapter 13 filings can help you protect any equity that you may have built up in your home. Keep in mind that when filing a chapter 13 bankruptcy, you will be set up on a repayment plan so you are held more accountable for your debt than you would be if you filed for a chapter 7 bankruptcy case. When you file a chapter 13, you are usually granted between three to five years to repay your creditors. During those three years, you will make one lump sum payment to the bankruptcy trustee each month and then that payment is subsequently divided up amongst the creditors so that you will not have to worry about the hassle of ensuring that everyone is paid each month.
