If you can no longer afford to pay your debts Bankruptcy may be an appropriate option. Filing for Chapter 7 protection will result in your eliminating the obligation to pay any credit or charge accounts, medical or utility bills, pay day or signature loans, time shares, rental, mortgage or auto loan deficiencies.
Chapter 13 Bankruptcy is a debt re-organization plan through which you must make monthly payments towards at least a portion of your liabilities. There are a variety of reasons why an individual may seek such protection. That includes preventing your real property from being lost in a foreclosure process, or retaining a motor vehicle that may be at risk of repossession.