Struggling with debt can be extremely stressful, and sometimes it can be difficult to know which way to turn. While there is a certain social stigma attached to the act of filing for bankruptcy, it is actually perhaps the best thing that you can do for your finances when you feel that your debts are spiraling out of control.
If your debts are continuing to increase and you live in the state of Florida, you may want to consider the benefits of Chapter 11 bankruptcy as an individual debtor. One of the primary benefits of Chapter 11 bankruptcy is that no debts are considered nondischargeable; therefore, your repayment options will likely be highly favorable.
Discharging of debts under Chapter 11
Once you have successfully filed for Chapter 11 bankruptcy, you will devise a repayment plan. This will mean that all of your income and outgoings will be evaluated, and a realistic repayment plan will be put in place. Once you have made substantial repayments, it is likely that you will be able to receive a debt discharge, and you will not be obliged to repay the rest of the debts owed to your creditors.
Am I eligible for Chapter 11 bankruptcy?
Chapter 11 bankruptcy is most commonly used by businesses. However, many individuals also file for Chapter 11. This is usually when their debts exceed the limit for a Chapter 13 filing or their income is too high for Chapter 7.
If you are considering filing for bankruptcy in Florida, it is important to consider all of the pros and cons of each bankruptcy chapter before making a decision.