During your Chapter 13 bankruptcy, you will submit a payment plan to the court that determines how much money you will pay to creditors each month. This plan will last from three to five years, after which the court will discharge most of your debts.
Financial problems have a way of hitting us when we are down. Most people who declare bankruptcy are hard workers who find themselves in tough financial situations. Filing for bankruptcy helps those individuals and families start anew on a stronger financial footing. Yet, what happens when a difficult financial situation arises while you are in the midst of Chapter 13 bankruptcy?
Earlier this year, the five major banks reached a settlement with the federal government and most of the state attorneys general that could help some homeowners who face significant housing debt. The banks agreed to pay $25 billion to settle a lawsuit charging them with mortgage fraud.
Divorce and Bankruptcy Law are two areas that sometimes go hand in hand. Financial difficulties in a relationship can be as difficult of a storm to weather as an extra-marital affair. When a couple has money problems, they may think that the only answer is to get out of the relationship.