Chapter 13 Bankruptcy
Chapter 13 is a wage-earner repayment plan. It is a federal law designed to help individuals and married couples repay all or a portion of their debts with dignity and peace of mind.
Our firm has the experience to work closely with you to develop a plan for the repayment of debts, present it for creditor approval and have it confirmed by the bankruptcy court. The process of creating the plan, getting it approved by creditors and the Chapter 13Chapter 13: The chapter of the Bankruptcy Code providing for adjustment of debts of an individual with regular income. Chapter 13 allows a debtor to keep property and pay debts over time, usually three or five years. TrusteeTrustee: An officer of the Justice Department who exercises statutory powers, principally for the benefit of the unsecured creditors, under the general supervision of the court. The trustee is a private individual or corporation appointed in all Chapter 7 and Chapter 13 cases, and some Chapter 11 cases. The trustee’s responsibilities include reviewing the debtor’s petition and schedules and bringing actions against creditors or the debtor to recover property of the bankruptcy estate. In Chapter 7, the trustee liquidates property of the estate, and makes distributions to creditors. Trustees in Chapter 13 cases have similar duties to a Chapter 7 trustee and the additional responsibilities of overseeing the debtor’s plan, receiving payments from debtors, and disbursing plan payments to creditors. , and confirmed by the bankruptcy court takes about 3 months. Repayment plans typically last three 3 to 5 years. Upon successful completion of the plan, certain debts are dischargabledischarge: A release of a debtor from personal liability for certain dischargeable debts set forth in the Bankruptcy Code. A discharge releases a debtor from personal liability for certain debts known as dischargeable debts and prevents the creditors owed those debts from taking any action against the debtor to collect the debts. The discharge also prohibits creditors from communicating with the debtor regarding the debt, including telephone calls, letters, and personal contact.. A Chapter 13 bankruptcy filing may:
- Allow you to stop the foreclosureforeclosure: The system by which a party who has loaned money secured by a mortgage or deed of trust on real property (or has an unpaid judgment), requires sale of the real property to recover the money due, unpaid interest, plus the costs of foreclosure, when the debtor fails to make payment. on your home, and give you up to five years to catch up on past-due mortgage payments.
- Stop the repossession of your vehicle and allow you to take 3 to 5 years to pay off your vehicle. It may reduce the principal balance and often lowers the interest rate you are being charged.
- Stop the IRS from garnishing garnishment: The process of petitioning for and getting a court order directing a person or entity (garnishee) to hold funds they owe to someone who allegedly is in debt to another person, often after a judgment has been rendered. For example, a garnishment of wages for delinquent child support. your wages or bank account and allow repayment of back taxes with no additional interest or penalties.
- Allow for the repayment of student loans or unpaid or overdue child support.
Roderick H. Martin & Associates are experts in bankruptcy law. Our two decades of experience ensure our clients have knowledgeable, skilled Chapter 13 bankruptcy representation. Please call at us 770.427.5853 to learn more about your options under Chapter 13.