When you first decide to file for bankruptcy, you need to choose the type of bankruptcy protection you will seek.

Depending on your situation, Chapter 13 holds many advantages to its more popular alternative, Chapter 7 bankruptcy. If you are a homeowner that is in danger of foreclosure, for example, Chapter 13 is your best bet to keep your home and reduce payments. Should your home already be in the process of foreclosure, it is still possible to halt the process with a successful filing for Chapter 13 bankruptcy.

This type of bankruptcy will not absolve you of all mortgage payments, but will make them more manageable for you. As long as you make your monthly payments over the period of bankruptcy protection, usually 3 to 5 years, the rest of your debts will be absolved and your home will be saved.

Along with your mortgage payments, you will be able to reschedule other secured debts as well. A new payment plan will be established to help you pay off a portion of your debts, releasing you from other debts in the process.

Have questions about which type of bankruptcy is ideal for you?  Contact us to get advice from a South Texas bankruptcy attorney now.