Tennessee residents of all income levels may face financial troubles at some point in their lives. These troubles may come in the form of substantial debt accumulation, which is a common issue across the country. In order to take steps toward addressing these issues, individuals may wish to consider their debt relief options and the possibility of filing for bankruptcy protection.
It was recently reported that several individuals in another state chose this option in order to confront their debt. Reports indicated that 12 cases for Chapter 7 bankruptcy were recently filed. Six of those cases involved debts exceeding $15,000. The other six cases exceeded $5,000 but were less than $15,000. All of the debts were reported as being held by a major unsecured creditor.
In addition to those 12 cases, one individual filed for Chapter 13 bankruptcy. His debt liabilities totaled $21,345. Because this person filed for Chapter 13, he will likely use a repayment plan to handle his outstanding liabilities whereas the other cases involve asset liquidation under Chapter 7. The necessity for either type of bankruptcy depends on the specific circumstances of the debts and individuals involved.
If Tennessee residents are contending with similar debt issues, they may wish to gather more information on bankruptcy as a form of debt relief. Because there are different types of bankruptcies, individuals may wish to determine the option that best suits their circumstances. Discussing the issues with an experienced bankruptcy attorney could allow interested parties to determine whether this course of action could potentially benefit them on the way to a fresh financial start.
Source: syracuse.com, "Onondaga County bankruptcies: May 4", May 10, 2016