A Chapter 13 bankruptcy is a court-supervised debt consolidation repayment plan, where you have up to five (5) years to repay creditors a portion or all of what you owe on your bills. Chapter 13 cases are available to most sole proprietors, married couples, and individual debtors, and cases generally last for a period of three (3) to five (5) years.
The amount of your monthly plan payment, the length of your plan, and the sum that must be repaid to creditors over the life of your Chapter 13 plan depend on a number of factors, including the types of debts that you owe, the real and personal property you own, and your historical and current income and living expenses. If you choose to consult our office and filing Chapter 13 is determined to be the best course of action for you, the attorney will review these factors with you in detail and advise you of the amount you would be expected to pay each month through a Chapter 13 plan.
Based on information supplied by you, our office will draft your Chapter 13 plan calling for you to make monthly plan payments to the court-appointed Chapter 13 Trustee. When the court approves your plan, the Chapter 13 Trustee will disburse your plan payments to your creditors in the manner described in your plan.
Chapter 13 Benefits
In general, a Chapter 13 bankruptcy filing:
Chapter 7 bankruptcy may be the right avenue for you to follow, or you may need the relief afforded to you by filing a Chapter 13 consolidation repayment plan.