5 Reasons Why You Should File a Simple Chapter 13 Bankruptcy in Lincoln

March 23, 2022 | By Steffens Law Office
5 Reasons Why You Should File a Simple Chapter 13 Bankruptcy in Lincoln

No matter how carefully you live, it’s always possible to fall into debt. Medical expenses, family issues, job loss, vehicle damage, and other emergencies can set you back, diminish your savings, and force you into debt. In these situations, we understand how difficult it may be to come up with the funds necessary to file a bankruptcy. Filing a simple Chapter 13 bankruptcy in Lincoln, NE, may be your best option to save you time, money, and grief.

Why Chapter 13 Bankruptcy in Lincoln is Right for You

Below, our experienced Lincoln bankruptcy attorney shares 5 important reasons why you may need to file a chapter 13 bankruptcy.

1) You Urgently Need Protection From Creditors

Have you received garnishment papers? Are you being garnished and need relief? Filing a simple Chapter 13 will stop creditor harassment, stop a lawsuit, and stop you from being bled dry from garnishment. You will once again have freedom over your paycheck.

2) You Don't Have Money to Pay for a Chapter 7 Bankrupty Fee

Garnishment can be stopped with both a Chapter 7 and a Chapter 13 bankruptcy. However, a Chapter 7 bankruptcy requires a $1,500 fee upfront, while a Chapter 13 allows you to pay only the filing fee ($313) upfront to get started.

3) You Have a Vehicle on Loan

A Chapter 13 may help you adjust your monthly expenses by reducing your monthly vehicle payment. According to our Lincoln bankruptcy attorney, if you have less than three years to pay on your car (or it’s been more than two and a half years since you took out the loan) your car payment can be reduced.

4) You Have a High Vehicle Interest Rate

A simple Chapter 13 may reduce your vehicle interest rate. This will help ensure that more of your payment goes to paying off your car than to the interest you owe your creditor. The current interest rate allowed is 5.25%.

5) You Want to Simply Your Life By Making One Payment Instead of Several

Instead of juggling your monthly payments for your car loan, credit cards, medical bills, and other loans, you’ll only have one low payment each month to cover everything! You can also set up automatic payments so you can have peace of mind and focus on the things that really matter. Our Lincoln bankruptcy attorney understands that deciding to move forward with a bankruptcy is never an easy decision. However, we’d like to assure you that there’s no shame in choosing bankruptcy, if it’s right for you and your family.

Contact Our Lincoln Bankruptcy Attorney for a Free Consultation

A Chapter 13 bankruptcy can get you back on your feet after years of financial hardship and make it easier to enjoy life the way you should. If you have any questions about a Chapter 13 bankruptcy or are wondering if it’s right for you, please give us at Steffens Law a call at (308) 872-8327 or fill out the contact form below to schedule a free consult with our Lincoln bankruptcy attorney. We’re here to serve you.