It can be extremely scary to fall behind on rent payments, but it’s important to know that you aren’t alone and you have options! If you are behind on rent to a current landlord or if you owe a previous landlord rent from a prior residence, bankruptcy may be able to help you!
If you owe on a current lease and have fallen behind on payments, a Chapter 13 bankruptcy is an option that can help you catch up on your payments. With a Chapter 13, a payment plan would be designed to help you catch up on the back rent, but you would continue to pay your rent payments on time after the case was filed. The payment plan payments would be designed between you and an attorney to create the best plan for your budget. These payments would be made to a trustee and the trustee would then send those payments to your landlord to catch up on the arrears.
However, if you are not interested in a payment plan to catch up on the back rent, you also have the option to file a Chapter 7 bankruptcy. When you file a Chapter 7, there will be an automatic stay issued that would protect you from an eviction until the case is discharged or until the landlord asks for relief from the automatic stay. In this chapter, you would be required to catch up on the payments that are owed on your own and you would then need to continue making rent payments on time.
If you owe a previous landlord for rent on a prior lease, this debt can be discharged through bankruptcy. The previous landlord would need to be listed on the petition and they would then receive a notice of the filing. This notice would stop them from contacting you and the debt would be discharged with the bankruptcy.
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If you have questions about bankruptcy and want a free consultation to go over your options, visit www.lifebacklaw.com to speak with an attorney!
