Wisconsin residents looking to avoid bankruptcy, but whom still need help with repaying their debt, or that simply want the convenience of consolidating debt into one monthly payment, Chapter 128 debt consolidation may be the right alternative. (Wisconsin residents only)
Chapter 128 is a Wisconsin statute that allows individuals to consolidate certain debts and repay them over a period of 36 months.
These plans are ideal for high-interest-rate unsecured debts such as credit card debts and “payday” cash advance loans because they stop the interest from accruing on these debts. There is no penalty for prepaying, and upon completion of the plan, you receive an order from the court stating that the debts you have included into your plan have been paid in full.
Chapter 128 debt consolidation proceedings are filed through the county court, but there is generally no court appearance required by the individual filing them. Our firm handles all of the dealings with the court and your trustee.
These plans also offer you protection as you are repaying your creditors. Chapter 128 is particularly helpful in stopping wage garnishment and high interest rate loans. For information on chapter 128 visit www.chapter128milwaukee.com or www.wi128trustee.com.
- Stops interest so you can pay down principal.
- Stops garnishment of your wages.
- Allows you to repay debts on your terms.
- Can stop creditor harassment.
- Lower fees than a bankruptcy and generally no court appearance required.
- No penalty for pre-paying and early plan completion.
- You can pick and choose the creditors you include in these plans.
- Can only include unsecured debt so you cannot typically consolidate car loans or mortgages.
- Plans can only run 36 months, so debt included in a Chapter 128 has to be paid back within three years.
- Can still be a negative mark if you presently have very good credit.
