When New York residents face challenges like job loss, persistent unemployment or a medical crisis, the financial repercussions can affect many parts of their lives. Foreclosure is one example of these consequences and can be devastating for many people. The loss of a home is much more than the loss of a financial investment.
For people in Long Island and throughout New York, there's no way to be prepared for the curveballs that life often throws. Whether it's unemployment, an unexpected medical issue or simply making mistakes with one's finances, there are many ways in which financial challenges can arise. Chapter 13 bankruptcy is a useful tool to get back on better financial footing while simultaneously saving one's home from being foreclosed upon.
The reasons why Long Island residents consider filing for personal bankruptcy are varied and diverse. In many cases, a person's need for bankruptcy takes him or her by surprise because the events leading up to the bankruptcy are completely unexpected. Filing for bankruptcy - despite being a difficult decision - can be very beneficial for people who are suffering severe financial hardship prior to filing and desperately need debt relief and a fresh start.
When financial challenges arise or things like unemployment suddenly occur, people's lives can be turned completely upside down. Many people do not have significant savings, so even a slight decrease in the income that was expected can wreak havoc on a budget and create serious problems. For many people struggling with insufficient income to meet their monthly financial obligations, one of their first concerns may be how to stop repossession of their vehicles. While bankruptcy can provide protection against repossession in some situations, there are also legal limitations on a creditor's rights when it comes to repossession of vehicles.
Many New Yorkers do not have a solid understanding of the foreclosure process. This means that if homeowners receive a foreclosure notice or find themselves dealing with difficult financial circumstances--such as unemployment--that could lead to foreclosure, they often do not know what to do or how to respond. Many people are unaware that there are a range of legal solutions that could provide valuable assistance and may instead fall prey to unscrupulous businesses or organizations seeking to take advantage of struggling homeowners.
Since the recession and financial crisis began in 2008, many New York residents have faced a wide range of financial challenges and setbacks. People have experienced job loss or reduced hours and extended unemployment, which frequently cause difficulty in paying bills. Homeowners have had to worry about losing their homes when the mortgages become too expensive and their homes are no longer worth what they were when they bought them. Foreclosure was a real and imminent concern for many people.