Question by Jazzsuzan *: What is the difference between chapter 7, 13 and using a debt solution company to pay off unsecured?
Which would be best if you have good income but not enough to meet monthly bills, utilities, unsecured debt & your house is upside down $ 188,000, due to adjustable arm and drop in value? Would you recommend using a paralegal, attorney or debt solution company (unsecured).
Best answer:
Answer by gadgetki
well
chapter 7 is “wipe out of your debt without paying monthly” but you will be listed for 7-10 years you will not able to open loan or credit 2 or 3 years after you filed the bankruptcy.
chapter 13 is that you agreed to pay small amount in straight 60 months row depends on how much you owe.
once you file a bankruptcy, during you are being listed between you filed the time to 7 or 10 years, you will not able to file a bankruptcy between this time.
I don’t recommend debt solution company because they would charge you 15% for service fee
I personally recommend you to hire an attorney. in addition, you will be required to attend to credit counseling before you file a bankruptcy.
if you own a house while you still pay the mortgage, so debt collector would put a lien on your house as if you don’t pay your credit or anything because debt collector may take the assets on the house you own… debt collector will tell you to surrender your house.
debt collector only interests your house and vehicle you own if you own many vehicles but debt collector will leave you alone if you have one vehicle once you file a bankruptcy. as your personal things as the computer, tv, fridge, anything, etc are not interested for debt collector
What do you think? Answer below!