How Nebraska Residents Can Make Debts Affordable Through Chapter 13

Want create site? Find Free WordPress Themes and plugins.

Financial freedom - Chapter 7 & 13 Bankruptcy NebraskaThis is the next post in my series on how the Chapter 13 bankruptcy process can benefit “sub-prime” borrowers in Nebraska. My last discussion looked at how additional mortgages can be “stripped away” through the process. In this article, I’ll take a look at how one’s debts can be made more affordable through Chapter 13.

Nebraska sub-prime borrowers can rid themselves of high interest payments through Chapter 13

Today’s economy has resulted in many people having less than stellar credit. Many Nebraska residents are straddled with high interest rate debts as a result. These debts can be in the form of credit cards with high interest rates as well as payday loans. This high interest rate debt places many borrowers in a financial trap; they can barely afford higher than normal monthly payments so they resort to simply paying the minimum on a bill each month. Only paying a monthly minimum results in almost an entire payment going to interest and the principal stays in place for years. This can make getting out of debt highly difficult. Rather than staying in this trap, it may be best for one to obtain a financial fresh start.

The Chapter 13 process is designed for those with a decent income and/or with assets they wish to keep. If you are straddled with high interest rate credit card debt or loans then that debt can often be eliminated, leaving one with a bankruptcy payment that is much lower than their current monthly obligations. If one’s high interest rate debt is in the form of a car loan, then Chapter 13 can reduce the principal balance of the auto loan as well as the monthly payment. Too often, sub-prime borrowers remain a high credit risk for lenders because they are in a financial trap which they cannot escape. The Chapter 13 process can get a person out of this cycle. Omaha, Nebraska residents who find themselves in this trap should contact an attorney immediately.

Filing for chapter 13 can actually improve the credit score of sub-prime Nebraska borrowers

Many Nebraska residents have found themselves in the sub-prime credit trap. This trap can be difficult to escape because, as one carries a large amount of high interest rate debt, lenders are less willing to make low rate loans. When one files for bankruptcy then their debt to income ratio is lowered and, often, they become a low risk borrower more quickly than they would by simply trying to pay their way out of debt.

If you are an Omaha, Nebraska resident and you are struggling to get out of the debt then contact our bankruptcy lawyers today.

Did you find apk for android? You can find new Free Android Games and apps.