Chapter 13
Chapter 13 is a payment plan over a period of time (usually 60 months). Often people think this means they pay off all of their debts. This is not accurate. For example, a person could theoretically pay $100 a month for 36 months and discharge $100,000 (or more) in debt.
Chapter 13 is a payment plan over a period of time (usually 60 months). Often people think this means they pay off all of their debts. This is not accurate. For example, a person could theoretically pay $100 a month for 36 months and discharge $100,000 (or more) in debt.
While Chapter 13 does involve payments, it offers some amazing benefits that Chapter 7 does not. With Chapter 13, you can:
While Chapter 13 does involve payments, it offers some amazing benefits that Chapter 7 does not. With Chapter 13, you can:
1) Stop foreclosure by making up missed payments over time (usually 60 months) and keep your home.
1) Stop foreclosure by making up missed payments over time (usually 60 months) and keep your home.
3) "Cram down" auto loans. Certain loans can be satisfied by paying creditors only the actual value of your car, not the entire loan amount. Auto loans can also be stretched over the life of a Chapter 13 plan, which can make a big difference for some people's budgets.
3) "Cram down" auto loans. Certain loans can be satisfied by paying creditors only the actual value of your car, not the entire loan amount. Auto loans can also be stretched over the life of a Chapter 13 plan, which can make a big difference for some people's budgets.
4) Keep more property by paying its value into the plan. If you have non-exempt assets that you would otherwise need to surrender in a Chapter 7, you may choose to pay for them over time in a Chapter 13 plan.
4) Keep more property by paying its value into the plan. If you have non-exempt assets that you would otherwise need to surrender in a Chapter 7, you may choose to pay for them over time in a Chapter 13 plan.
Call 651-704-9600 for a free attorney consultation.
Call 651-704-9600 for a free attorney consultation.