If you have decided to file for bankruptcy, you may realize that Chapter 13 is the better option for you. Below are some of the advantages of choosing this type of filing over the others.

By filing Chapter 13, you can protect your home from foreclosure, stopping the proceedings in their tracks. In some instances, delinquent mortgage payments can be brought current over time. Regardless, debtors still have to meet their mortgage obligations during the period that the Chapter 13 plan is in force.

Also, you can reschedule your secured debts beside the mortgage owed on your primary residence, extending them for the duration of your Chapter 13 installment plan. Debtors sometimes can negotiate lower payments, too.

There is also a special provision under Chapter 13 protecting third parties, e.g., co-signers, sharing liability with debtors on consumer debts.

A final advantage of filing Chapter 13 is that it is akin to making a consolidation loan for all of your bills, except you will be making these payments to the trustee over your Chapter 13 plan. He or she then distributes your payments to your creditors, as you no longer have any direct contact with them as long as you are under the protection of Chapter 13.

How can you be sure which type of bankruptcy filing best meets your financial needs? Bankruptcies are complex proceedings, so it is always a good idea to seek legal advice from an attorney who handles those types of cases routinely. Remember that everyone’s financial situation is different, so make sure that you make the best move for your specific case.

Source: United States Courts, “Chapter 13 — Bankruptcy Basics,” accessed July 29, 2016