There are many reasons that people in Oregon take out loans, use credit cards and take on other forms of debt. Some of these are necessary to continue to meet people’s needs, others take them out in order to buy homes, cars and other larger purchases. As long as people can make their monthly payments, the debt is not a major concern.

However, budgets are often tight and sometimes it does not take a major set back to make it difficult to keep up with all of the debt payments. When this occurs people can become overwhelmed and the debt could start to get out of control. This is true even for people who still have jobs and are earning an income. People who find themselves in this unfortunate situation could find relief from their debt through Chapter 13 bankruptcy.

Chapter 13 bankruptcy is different because people do not need to liquidate their assets in order to pay debt like in Chapter 7 bankruptcy. Instead the debt is consolidated, the debtor is given a repayment plan and people must make monthly payments. However, at the of the plan people can still have much of their remaining debt discharged.

People must meet certain requirements in order to have their debt discharged though. In order to have debt discharged though people must make all of their payments during the course of the plan; make all child support or alimony payments were paid; they have not received a discharge within the two years prior; and completed a financial management class.

People in Oregon going through Chapter 13 bankruptcy can achieve a fresh start. During the plan their overall debt payment each month could be lowered and eventually they may have their debt completely discharged. They also may be able to work and earn a good income throughout while keeping many of their assets. Experienced attorneys know the benefits of bankruptcy and could be a useful resource.