Many people in New Hampshire are facing the endless problem of mounting debt. As they are forced to take more short-term loans and credit card debts to keep up their day-to-day expenses, their monthly minimum payments continue to grow, and their ability to meet them continues to fall. Even a minor interruption in their financial picture can have drastic consequences.
Individuals who are overwhelmed by financial obligations may be able to obtain a measure of relief by filing for Chapter 7 bankruptcy and getting some of their debts discharged. In some cases, past due income tax obligations may be discharged through bankruptcy as well. However, there are certain qualifications that they need to meet before this can occur.
Laws may protect customers in New Hampshire and throughout the country from improper debt collection practices. A woman is claiming that a department store contacted her repeatedly and inappropriately to collect an allegedly overdue $20 credit card bill. The woman's personal debt increased to $100 for this credit card bill because of interest and fees for late payments.
New Hampshire residents who are considering filing for bankruptcy may feel that doing so may save them from otherwise insurmountable financial complications, but some may not fully understand what each category of bankruptcy entails. Understanding the basic aspects of Chapter 7 and Chapter 13 bankruptcies could help such debtors in planning ahead more effectively.