Need More Information on Chapter 13 Bankruptcy?
The other type of case we may file is called a Chapter 13 Bankruptcy. With a Chapter 13 Bankruptcy, we may force your creditors to take monthly payments, over a 3 to 5 year period, as long as the judge finds you filed in “good faith” and have enough money to make your plan payments after paying your living expenses.
Under a Chapter 13 Bankruptcy, you normally don’t have to pay your unsecured creditors in full, or any interest, to be discharged from the debts, and you may keep non-exempt property. You are usually completely protected by the court from creditors, you may stop foreclosure or repossessions of your property, and monthly payments to secured creditors may be reduced, though you have to pay the current value of any collateral in full.
If you make all the payments required by your bankruptcy plan, you get your discharge from all debts, except certain long-term ones like house mortgages.
For more information, contact the law offices of Harder, Wells, Baron & Manning today to schedule a free consultation.