Chapter 13 Bankruptcy
A Chapter 13 offers immediate relief from the burdens of unmanageable debt. It is of particular usefulness to allow you to retain all property interests while restructuring your payments to creditors, even where creditors have initiated collection, court action, repossession and/or foreclosure.
It is not uncommon for a Chapter 13 reorganization Plan to be developed allowing the retention of all property with a payment each month significantly lower than currently exists.
The process involves a detailed examination and analysis by a Court appointed Chapter 13 Trustee of the feasibility of the proposed Plan of reorganization. The Trustee must be satisfied your Plan meets with the legal requirements of the U.S. Bankruptcy Code, will pay the anticipated creditor claims, and that you will have the ability to complete the Plan.
In most, but not necessarily all instances, any debt not completely paid will be discharged following completion of your Court approved Plan. Mr. Roberts will explain in more detail your individual circumstances during your office visit.
In preparation for a Chapter 13 case you will meet personally with Mr. Roberts for a review of your financial affairs, including but not limited to:
- Your debts;
- Your property interests;
- Your current and future income; and
- Your current and future living expenses
In all instances it is paramount to Mr. Roberts that you be able to maintain an acceptable standard of living while also being able
to meet your responsibilities under the Plan. If it is not possible, then Mr. Roberts will advise you of other alternatives, including
Chapter 7 Bankruptcy.
Chapter 13 Plans may be developed for up to a 60 month repayment period and may allow for reduced payment of interest.
Once your case is filed, you will be required to attend what is known as a Creditors Meeting. This Meeting will occur approximately 45 days after the filing of your case. Mr. Roberts will attend this Meeting with you and assist you in preparing for such. If neither the Chapter 13 Trustee nor any creditor voices opposition to your Plan of reorganization, the Plan will be recommended by the Trustee for approval. If opposition is presented, a Court hearing date will be established for a Judge’s consideration of the objection.
You will be required to commence payments on your Chapter 13 Plan 30 days after the filing of your case.
Once your Plan is confirmed by the Court no other court appearances are necessary as long as monthly payments are kept current. The law Office will be available to advise you throughout the balance of the case if problems arise.
