When people think about major debts, big ones like mortgages and bank loans are probably what come to mind. However, it is possible to find yourself deeply indebted from everyday living. Missed utility bills, late credit card payments, unpaid fines and other smaller arrears can become massive chains weighing you down over time. The fees and interest stacking on top of each one you are unable to produce the funds to pay on time only make it harder to dig yourself out of the hole you find yourself in.
This does not have to drag you down forever. There are solutions available. Wisconsin in particular has an extra option called Chapter 128.
Covers unsecured debt
Wisconsin’s Chapter 128 covers debts that are not secured, such as credit card debt, late utility bills, medical bills and traffic tickets. What happens is, with the aid of an assigned trustee, you develop a plan to pay off these debts over a three year period through a monthly payment plan.
Provides protection
One big benefit of Chapter 128 aid is that it puts a halt to interest additions and garnishments. This means the amount you owe will not continue to rise. If you are in danger of having water, electricity and other essentials turned off, it will prevent that as well.
Grants a fresh start
While it does not forgive your obligations, this relief grants you the opportunity to be free of unsecured debt incurred from life and its necessities. Since it is not technically bankruptcy, it does not affect your credit report negatively or at all.
While you will still bear responsibility for the totality of your debt, Wisconsin has provided an extra, easy to apply for out for its residents. Taking advantage of it may afford you a new lease on life.
