In fairness, bankruptcy has never just dealt with credit card debt, but that seems to be a common misconception.
My clients are often pleasantly surprised at the types of debt that bankruptcy can assist with. Here are some of the debts that you might not realize can be eliminated or affordably repaid in bankruptcy.
Delinquent utility bills
High winter gas bills or high summer electric bills can be overwhelming. Some people find themselves in danger of being shut off. Bankruptcy can stop a shut off and either eliminate or help you repay your high balance. If your service has already been terminated, we can help you get turned back on.
Payday loans
Payday lenders seem to be some of the least scrupulous and most likely to lie to you about what they can do to collect. Yes, payday loans can be included in a bankruptcy and no, there’s nothing they can do about it.
Real estate taxes
If your real estate taxes aren’t paid as part of your mortgage loan, it can be very easy to fall behind considering the tax bills often need to be paid in one lump sum. Bankruptcy can help you repay your real estate taxes over up to a five year period and can prevent a tax sale of your property.
Delinquent mortgage payments
If you’ve fallen behind in your mortgage payments and reached out to your lender for help, you know how difficult it can be to work on a resolution with the mortgage company. Bankruptcy allows you get caught up on your missed payments over up to a five year period and/or we can explore whether we can get you more favorable loan terms in order to help you get caught up.
Income taxes
Depending on the circumstances, you can repay the taxes without the penalties continuing to rack up or they might be eligible for elimination.
Bankruptcy can help you get a multitude of different kinds of debts under control. Not sure if bankruptcy can help with your type of debt? Give us a call at Steidl & Steinberg. We can meet with you for a free consultation.