A Chapter 13 bankruptcy allows for individual and joint petitioners to organize and resolve their financial problems in a manner similar to that of a business under Chapter 11. The purpose of this Chapter is for debtors to adjust rather than completely erase their debts.
Chapter 13 is only applicable to individual and joint petitioners whose debts are below statutory limits, currently $383,175 in unsecured debt, and $1,149,525 in secured debt.
Unlike Chapter 7, in order for a debtor under Chapter 13 to receive a discharge, the debtor must file, obtain confirmation of, and make scheduled payments under a Chapter 13 plan. A plan confirmed by the bankruptcy court redefines the legal obligations between the debtor and the creditor. The maximum term of a Chapter 13 plan is five (5) years.
Many individuals and families opt for Chapter 13 Bankruptcy when they are looking to protect their homes from foreclosure, modify the loans they have on their vehicles, and create feasible tax repayment plans.
Chapter 13 bankruptcy cases with David Henshaw can commence with small down payment, with any additional fees and costs potentially covered through the confirmed Chapter 13 repayment plan.
Call David Henshaw today to determine whether Chapter 13 bankruptcy is the best solution for you.
