Filing Bankruptcy Does Not Have to Conflict with Your Sense of Personal Financial Responsibility
After devoting their lives to developing and practicing good financial habits, many individuals considering bankruptcy face a self-imposed stigma. Even when unforeseen circumstances ranging from job loss to substantial medical expenses deplete savings, walking away from unpaid bills is not a personal option. A difficult-but-responsible choice, filing bankruptcy can provide the best means for meeting your obligations while regaining economic stability.
Fulfilling financial obligations via Chapter 13 bankruptcy
Even people who qualify to liquidate their debt through Chapter 7 bankruptcy can instead choose to repay it through Chapter 13 bankruptcy, also known as reorganization bankruptcy or individual debt adjustment. This approach uses the power of the bankruptcy courts to restructure the terms for outstanding credit agreements, making repayment possible and affordable while offering many advantages, such as the following:
- Satisfying the moral obligation to repay debt
- Providing an opportunity to save homes from foreclosure and other property from repossession
- Chapter 13 works similarly to a consolidation loan, simplifying the repayment process
- Chapter 13 can protect cosigners from extra financial responsibilities
All too often, people approach creditors that refuse to work with them to make full repayment possible by extending the loan period or even reducing interest rates. If repayment is your goal, you may need the bankruptcy courts to compel your creditors to consider alternative ways to get your loans repaid in full.
The experienced bankruptcy attorneys at Mudd, Mudd & Fitzgerald, P.A. address your financial issues while keeping your sense of moral obligation at the forefront when developing useful solutions. Representing clients throughout southern Maryland, our firm recognizes that every situation is unique, and we provide all clients with a customized approach that meets their personal needs.