As the US unemployment rate continues to rise and fall unpredictably, and medical bills and credit card debt soar, more families hit hard by financial troubles look for solutions. No one is immune, not even the family of an Olympic champion who has the potential earning power of a Fortune 500 executive.
Recently the mother of Gabby Douglas, gymnastics Olympic gold medalist from this year’s London games, filed for Chapter 13 personal bankruptcy. By filing a Chapter 13 bankruptcy, Mrs. Hawkins is able to reorganize her finances and pay down her debts over several years. According to bankruptcy court records, Mrs. Hawkins listed assets worth $163,706, which primarily consist of a townhouse in Virginia Beach, VA and a car.
The records also show that Hawkins has nearly $80,000 in debt. Her monthly income was listed as $2,500, including social security disability and child support, which she receives from her husband, from whom she is separated. The court issued an order for Mrs. Hawkins to pay $400 a month for a five-year period in order to pay down her existing debts.
Chapter 13 bankruptcy is one way that consumers who are struggling with debt can seek relief through the bankruptcy court. Chapter 13 is a popular option for those facing foreclosure, as it can stop the process in its tracks.
If you've fallen behind on bills, filing for bankruptcy under Chapter 13 may allow to you get back on track by reorganizing your debts into one affordable monthly payment. Thousands of people file under Chapter 13 each month, and find that it can allow them to keep their homes, cars and other important possessions while dealing with their debts.
If you are having financial trouble, remember you are not alone. Our firm can help you explore your best options to meet your debt obligations and bring you peace of mind.