By filing a Chapter 13 bankruptcy, one can repay a portion or all of an outstanding debt often at lower interest rates. A Chapter 13 bankruptcy filing is ideal for an individual facing a repossession or foreclosure and want to maintain possession of an automobile or home and/or are in arrears for child support payments or taxes and unable to pay due to other outstanding debts. There are also individuals with a strong desire to pay outstanding debts and not erase them under a Chapter 7 filing, a Chapter 13 filing is more in alignment with these desires.
In order to file for Chapter 13 bankruptcy, one must demonstrate a source of income. The source of income can come from any source of employment, earned commissions, pension payments, Social Security benefits, unemployment benefits, child support or alimony, royalty payments and/or funds from a property sale.
A Chapter 13 Trustee is assigned to each filing, and will be present in the pre-court meeting with an individual. Debtors looking to recoup payment from an individual filing Chapter 13 may appear at the pre-court meeting to protest payback amounts. A court date is typically scheduled one to two weeks following this meeting. At the court hearing, the payment plan proposed by an attorney when filing Chapter 13 bankruptcy will be approved or disapproved. Payments made on a Chapter 13 bankruptcy will be directly taken from a personal bank account or withheld from sources of income.
Before filing for Chapter 13 bankruptcy, it is important to be aware of the following:
If you or a loved one are in need of legal representation for a bankruptcy filing in California and are interested in learning more about Luftman, Heck and Associates LLP, please fill out a Contact Form. A member of the firm will contact you directly to discuss your case in more detail and provide additional information about our bankruptcy filing services.
The Law Firm of Luftman, Heck & Associates, LLP is a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code. The information provided on the web site is not, nor is it intended to be, legal advice or an offer to represent you.