Chapter 13 Bankruptcy

Chapter 13 BankruptcyChapter 13 Bankruptcy is often a great way to catch up on payments when you have gotten behind. In a chapter 13 bankruptcy, you enter into a court-approved bankruptcy payment plan to pay down or catch up on your debts over three to five years. As part of the chapter 13 bankruptcy plan, you will be required to apply all your disposable income to your bankruptcy court approved repayment plan. To file for chapter 13 bankruptcy, your petition will contain much of the same information as in a chapter 7 bankruptcy petition, in addition you must bring to your attorney:

  • your most recent tax return
  • your last six months of paychecks stubs or bank statements (if self employed)
  • proof that you have completed your pre-filing bankruptcy credit counseling
  • show you were current on your taxes for the last 4 years
  • show a realistic bankruptcy repayment plan and provide a copy of the repayment plan on each of your creditors
  • make payments directly to the bankruptcy trustee, who in turn distributes the money to both your secured and unsecured creditors

A chapter 13 bankruptcy is helpful if you need to spread out repayment of missed installments, taxes, and late charges on a mortgage. And speaking of mortgages, if your lender has begun foreclosure proceedings, a chapter 13 bankruptcy can halt the proceedings as long as your house hasn’t been sold yet. Following the links below will give you some general bankruptcy information to consider.

Just like in a chapter 7 bankruptcy, when you complete your Chapter 13 bankruptcy payment plan, any remaining unpaid balances on unsecured debt owed to creditors is discharged in the bankruptcy (with some exceptions). In a Chapter 13 bankruptcy, dischargeable debts are wiped out. How To Proceed Call the Remboldt Law Firm, LLC at 404-348-4081 and arrange for a FREE chapter 13 bankruptcy consultation, at that time CJ will listen to you and give you some ideas for a path forward as well as explore available non-bankruptcy options, such as a chapter 7 bankruptcy, that might help solve your problems.