Chapter 13 Bankruptcy
Chapter 13 Bankruptcy may be an good option for you if you fall into one of the following categories:
- Your debt load is too much but you have too much disposable income.
- You need to stop foreclosure of your home and modify your mortgage.
- You owe back taxes to the IRS and/or New York State and you are getting killed by interest and penalties.
Chapter 13 can help!
Chapter 13 stops interest and penalties from accruing on credit card debt, mortgage arrears and taxes, and gives you three to five years to pay back what you owe!
This type of bankruptcy is a proceeding whereby you pay back your creditors a certain percentage of your debt during the course of a Chapter 13 plan. This plan lasts between three to five years. A Chapter 13 bankruptcy filing remains on your credit record for seven years from the date of filing. Chapter 13 case commences with the filing of a petition with the bankruptcy court, and includes your attendance at a meeting of your creditors (referred to as the Section 341 Meeting). The petition will contain information regarding your debt, income and property. You will also file a Chapter 13 Plan of repayment of your debts. At the meeting of creditors, which typically takes place within 30 to 40 days of your filing, you will be asked questions about the information in your petition by an attorney called a bankruptcy trustee.
This meeting will be followed by a confirmation hearing where the court will consider approval of your plan of repayment.
Our firm can help you deal with foreclosure issues.
You do not have to lose your home in a bankruptcy proceeding. It is possible for you to keep your home throughout the course of filing for bankruptcy. Our lawyers are skilled at providing clients with a range of options and education on how it is possible to avoid foreclosure. Filing for bankruptcy is not right for everyone. A lawyer at our firm can assess your case and determine if seeking protection under bankruptcy is in your best interests. If it is not, our firm can help you understand your options and assist you in moving forward.
