Reed Law Firm, P.A. is a federally designated debt relief agency. We proudly help people file for bankruptcy relief under the U.S. Bankruptcy Code.
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Giving You Hope For a Debt-Free Future

Making the tough choice to file for Chapter 13 bankruptcy

Making the decision to file for bankruptcy is not an easy one. This decision likely came after significant financial difficulties, calls and threats from debt collectors, and other struggles. If you believe that bankruptcy is the right choice for your individual situation, you will then have to decide if Chapter 7 or Chapter 13 is the best option. 

Depending on the nature of your finances and the types of debts you owe, Chapter 13 may be the most appropriate option. Before you make an important and critical financial decision, you would be wise to carefully weigh both the pros and cons of this step.

The benefits of Chapter 13

There are many reasons why a South Carolina resident may find Chapter 13 to be the best option. Some of the most practical benefits to this particular chapter of consumer bankruptcy include the following:

  • You will have more time, generally a period of three to five years, to pay off debts over the course of the process.
  • It may be possible to keep the property and assets you are making payments on during the bankruptcy process.
  • You may be able to rebuild your credit faster than you originally thought possible.
  • By filing for bankruptcy, you will enact the automatic stay. This halts further creditor contact and collections actions against you.

Bankruptcy is rarely a person's first choice, but it could be a good way for you to secure a better, stronger financial future.

What you need to consider before filing

Filing for bankruptcy is not always a painless process. There are many different things you would be wise to consider before you take this important step, including the following:

  • The Chapter 13 bankruptcy process is lengthy and can take years to complete.
  • Your credit will be affected, at least for a while, even though you will be able to rebuild it in the future.
  • You could find that it is difficult to secure a mortgage after a Chapter 13 bankruptcy.
  • Declaring bankruptcy will impact your ability to do so again or declare Chapter 7 bankruptcy if the need arises in the future.

Taking this step is not easy. If you feel overwhelmed, unsure of what to do or simply want to know more about Chapter 13, you would be wise to reach out for a complete explanation of your rights and options. This can help you better understand the choices available to you, enabling you to make the choice that allows you to pursue more financial stability in the future.

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Reed Law Firm, P.A.
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Columbia, SC 29210

Phone: 803-726-4888
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Reed Law Firm, P.A.
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Florence, SC 29501

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