Dec 29
A debt settlement agreement is worth while for all of us. In 2005 there was a restructuring in the bankruptcy legislation. This reform changed the laws making it much more difficult for a consumer to file Chapter 7. This is a full discharge of the debt owed. If a consumer does not pass the “means test” to enroll for Chapter 7 then they must look to go through what’s called a Chapter 13. With a Chapter 13 the court will review your entire financial situation to come to a determination how much you will have to pay back towards your debts within the next 5 years.
Tags: bankruptcy legislation, chapter 13, debt settlement, financial situation, means test, settlement agreement