Filing a Chapter 13 bankruptcy can be the last resort to get in control of excessive past due debts. Filing for a Chapter 13 bankruptcy allows you to keep your financial assets, and set up an affordable repayment plan with your creditors. You must meet certain criteria and have a steady income to qualify for this type of bankruptcy.
What Is Chapter 13 Bankruptcy?
A Chapter 13 bankruptcy consists of you and the creditors agreeing on a set amount of money to settle your debts that must be paid back within a certain period of time. To qualify for this repayment plan, your total debt amount can not exceed the maximum amount allowed and you must have proof of income to show you can afford the payments. Your debt amount can not exceed $400,000 for unsecured debts and $1 million for secured debts. You may be given up to 5 years to complete the total payment amount settled on, and once that is paid the remaining balances will be discharged.
Benefits Of Filing Chapter 13 Bankruptcy
Filing a Chapter 13 bankruptcy allows you to come to an agreement with your creditors on a lower total debt amount to pay back within a 3 or 5 year period. You also prevent foreclosing on your home, stop repossession of your car, and get to keep any nonexempt property. More debts are dischargeable under a Chapter 13 bankruptcy. Finally, if you have a co-debitor, this bankruptcy can protect them from any liability of the joint debt if no payments are missed throughout the repayment period, but they may be responsible for any remaining debts after the repayment amount is paid.
Chapter 13 Bankruptcy With Jack Berman In Livonia MI
Jack Berman in Livonia MI has devoted over 40 years of his career to representing clients with bankruptcy cases. He is skilled and experienced and will give you valuable advice and guidance throughout the bankruptcy process. Jack Berman is accredited by the Better Business Bureau and is dedicated to assisting his clients with all their concerns. To learn more about filing Chapter 13 bankruptcy you can contact us online, or call us at our Wayne County location at 734-367-0600 or our Macomb County location at 586-779-6000 today!