Chapter 13 Bankruptcy
Bills are piling up. Harassing creditors keep calling, demanding payments you cannot possibly make. You are at risk of losing your home. What can you do? What are your options? One alternative is to file chapter 13 bankruptcy.
Debt Relief Through a Chapter 13 Repayment Plan
You may be eligible for Chapter 13 bankruptcy if you have a steady source of income. Often known as the “wage earner” bankruptcy, Chapter 13 allows you to repay a portion of your debt via a court-approved repayment plan. Following successful completion of the repayment plan, remaining eligible debt is discharged.
For more than three decades, Bunch & Brock, Attorneys at Law, in Lexington, Kentucky, has provided assistance to individuals and families overcome by financial problems. Attorneys at our firm take the time to understand your situation and discuss options for relief.
To discover if Chapter 13 bankruptcy is right for you, contact Bunch & Brock at 859-254-5522.
The Advantages of Chapter 13 Bankruptcy
When you file for Chapter 13 bankruptcy protection, you have the opportunity to repay your debts under better conditions and at lower interest rates. Unlike Chapter 7, which involves liquidation of assets, this process allows you to use future income to repay your creditors and keep your property.
If you have missed payments and are at risk for foreclosure, Chapter 13 gives you a chance to “catch up” and stop a foreclosure or keep your home.
Satisfying a Repayment Plan
Under Chapter 13, the U.S. Bankruptcy Code gives you up to five years to repay your creditors. The minimum amount you will have to repay depends on how much you earn, how much you owe and how much your unsecured creditors would have received if you had filed for Chapter 7.
Your repayment plan will be approved by the courts. A repayment plan can be created even if creditors disagree with it. Once you complete all necessary payments, the remainder of your outstanding eligible debts will be eliminated.
Time Is of the Essence
When dealing with serious financial issues, time is of the essence. Waiting to take action may cost you some of your rights. Contact us as soon as possible to begin the path toward financial stability.