Chapter 13 Bankruptcy

Helping You Get Back on Your Feet

Debt that you can never seem to get ahead of can be overwhelming, stressful, and leave you feeling helpless against it as it continues to mount beyond manageable levels. If you are unable to pay your debts and have a steady source of income, you might be able to obtain some relief through a Chapter 13 bankruptcy. At Howard Law Group, PLLC, we understand that this is a difficult time for you, which is why our knowledgeable bankruptcy attorney and legal team will help you navigate this process and advise you on your best course of action. Filing for bankruptcy can be a complicated process so do not try to field through it on your own. Let us help ensure your financial future gets a proper fresh start.

Contact Howard Law Group, PLLC today and let us help you determine if filing for bankruptcy is right for you. Call us at (502) 309-2740 to schedule a consultation!

What is a Chapter 13 Bankruptcy?

Unlike a Chapter 7 bankruptcy, which forgives all eligible debts, a Chapter 13 bankruptcy allows consumers to develop a repayment plan to pay off a significant portion of their debts within a 3 to 5-year timeframe. Some debts that are commonly discharged in a Chapter 13 bankruptcy include credit card debts and personal loans. Getting your repayment plan approved by the court will not only help you tackle your debt in a more controllable way, but it will also relieve you of the barrage of phone calls and letters you are likely receiving from relentless debt collectors and creditors.

Chapter 13 bankruptcies should be perceived as repayment plans. Your debt will be reorganized and prioritized by a bankruptcy court-appointed trustee based on your monthly income and, at the end of your repayment period, any remaining unpaid unsecured debts will be discharged.

Eligibility for a Chapter 13 Bankruptcy

Not everyone qualifies for a Chapter 13 bankruptcy, so it is important to understand what is required before you move forward. If your unsecured debts are less than $394,725 and your secured debts are less than $1,184,200, you would be considered eligible for a Chapter 13 bankruptcy. That said, only individuals or spouses who file jointly qualify. Business must file under Chapter 11.

Additionally, if you would like to file for a Chapter 13 bankruptcy, you must provide proof that you filed state and federal income taxes for the past 4 years. If a previous bankruptcy petition of any kind was dismissed within the last 180 days, you cannot file under a Chapter 13.

The Process of a Chapter 13 Bankruptcy

Before you begin the process of filing for a Chapter 13 bankruptcy, it would be wise to first hire a bankruptcy attorney. You do not have to have an attorney to file for bankruptcy, but the law has a tendency to be vastly complex and having someone experienced in handling such matters will go a long way toward the success of your case.

Some of the information you will need to provide includes:

• A list of creditors and how much you owe
• All sources of income and the total amount of your earnings
• A list of property you own
• Living expenses
• Copies of your most recent federal tax return

You and your attorney will work on a reasonable repayment plan which will be proposed to a judge to determine if it is fair and meets the necessary requirements. If the proposed plan is approved, you will be able to make routine payments to your court-appointed trustee, which will be distributed to your creditors.

Explore Your Options with a Frankfort Bankruptcy Attorney

If you are struggling to pay off debts, you might need to consider a Chapter 13 bankruptcy as a means to manage them and work toward restoring your financial health. At Howard Law Group, PLLC, our experienced Frankfort bankruptcy attorney will help you explore all available options to ensure you are making the right choice for your financial future. Reach out to our firm today.

Call us to schedule a consultation with our knowledgeable bankruptcy attorney and get started on working a brighter future.