Wisconsin law allows individuals to file a petition to pay creditors over time under a voluntary personal receivership. Chapter 128 of Wisconsin Statutes enables you to pay the unsecured debt over three years and halts creditor harassment. The Chapter 128 Personal Receivership works well for those that have demanding creditors especially if they are faced with the threat of garnishment.
We will help determine whether the voluntary Chapter 128 Personal Receivership is your best option. We will help you stop garnishments and other collection actions and explore all of your options for dealing with debt and debt collection activities.
Advantages of Chapter 128 Personal Receivership:
- You can pick and choose which creditors to list in Chapter 128
- Stop garnishments and other collection actions
- You do not have to appear in court
- It does not matter if you have filed bankruptcy in the past
- Chapter 128 can reduce the interest on high-interest bearing loans
The debt relief attorneys at Law Office of Rollie R. Hanson, S.C. will help you navigate the ins and outs of debt overload. We will review your situation and give you professional feedback and explain your options in plain English. Chapter 128 works only for unsecured debt such as credit card debt, payday loans, medical bills, and in some cases utility bills. Also, you must have enough income to afford to pay the debt after three years. If you are unable to service the debt under Chapter 128, you may also consider a Chapter 13 bankruptcy.
Our office offers over 25 years of experience in helping people with financial stress. Our attorneys are ready to help you establish your financial goals, find the best options for your situation, and move forward with your life. At Law Office of Rollie R. Hanson, S.C., we help families resolve their financial issues and get a fresh start. We represent people.
Debt negotiation, also known as debt settlement, is another alternative to filing Chapter 7
or Chapter 13
bankruptcy. An arrangement agreed upon between the creditor and debtor, debt settlement requires the debtor to pay the liability within a specific time frame. This type of arrangement can present a challenge if you have multiple creditors.
In some cases, you may be able to get your creditors to agree to reduce their claim if they're able to get monthly payments over a specific period of time; however, you are required to settle with all of your creditors. If one or two creditors refuse to work with you on a debt settlement plan, your financial situation may not be resolvable through debt negotiation.
Mortgage Loan Modification
In 2008, Congress passed the Troubled Asset Recovery Program (TARP) to assist homeowners who were struggling with their mortgage payments. The goal was to encourage major banks to try to work with people to keep them in their homes after government bailout for the banks. After that, the Department of Treasury developed the Home Affordable Modification Program (HAMP). With this program, major lenders and servicers gave homeowners HAMP modifications when appropriate, and banks and their servicers also agreed to consider homeowners for non-HAMP or "in-house" loan modifications.
Loan modifications require the bank to modify the terms of the loan to allow the homeowner a more affordable mortgage payment when a foreclosure would cause the bank to take a greater loss than if the lender works with the borrower.
Under HAMP, the servicer uses the Department of Treasury's formula, which is based upon various values or factors, including the value of the home, the balance on the mortgage, unpaid mortgage payments, interest rates, and the homeowner's monthly income. Mortgage loan modifications can be an alternative to foreclosure of Chapter 13 bankruptcy.
Because certain mortgage servicers are known for requiring homeowners to repeatedly send in paperwork and financial documents and then never providing a response, many homeowners have had a negative experience when applying for loan modifications. In some cases, the servicer's failure to follow through can provide a basis to fight home foreclosure. Trust our mortgage modification lawyers to help you with the modification process and provide feedback and answers.
Avoid Your Financial Crisis With Legal Help
If you're looking for the best approach to resolving your debt situation, rely on the attorneys at Law Office of Rollie R. Hanson, S.C. to help you determine the best strategy and provide guidance in the pursuit of bankruptcy alternatives. One of our knowledgeable attorneys will meet with you to go over your options and get you started on the path to financial recovery. Contact us
today to learn more or to schedule a FREE initial consultation