Dezenberg & Smith, Attorneys at Law

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What Is Chapter 13 Bankruptcy?

If you need a Chapter 13 Bankruptcy, you can take advantage of our “$40 To File” Program. All you pay to our office is $40 to file your Chapter 13 Bankruptcy! We use the $40 to pay for your required Credit Counseling Certificate and Debtor Education Certificate. If you are a first-time Chapter 13 filer, or if you have filed before and always paid your Court Filing Fee in full, then you qualify for a “$40 to File” Chapter 13 Bankruptcy.

Chapter 13 bankruptcy is designed primarily for individuals who wish to keep certain assets by paying back the debt on a more manageable payment schedule. It is also available to people who fail to qualify for Chapter 7 because they have either filed Chapter 7 too recently or they make too much.

Through this reorganization, debtors submit a plan to the court showing how they will pay back the loan over a period of time. Many times the terms of the loan are drastically modified to a place where the debtor can feasibly pay off the debt. Once the court approves the proposed payment plan, the individual can begin paying down the debt.

Chapter 13 does not require you to pay all of your unsecured debt. In fact, a Chapter 13 can get rid of unsecured debt just like a Chapter 7 does. Unlike Chapter 7, however, Chapter 13 provides a mechanism for keeping items such as a house or car that are secured by debt that is not paid current. The Chapter 13 plan can either be used to catch up on contractual payments or to completely restructure the debt with lower payments and in most cases, a lower interest rate.

Helping To Find The Solution That Is Right For You

At Dezenberg & Smith, Attorneys At Law, we are committed to helping you find the solutions that best suit your needs, both now and in the future. If Chapter 13 bankruptcy helps you achieve your long-term goals, we will guide you through that process, helping to ensure that all details are accounted for. Your best interests are always the focal point.

As your attorneys, we will direct the process of modifying the payment plans to create a more manageable schedule that will allow you to get back on track with your payments. This reorganization can be complex, requiring representation that understands the process.

Once you file for bankruptcy, a stop is placed on all foreclosure and repossession efforts. This, coupled with the new payment plan, is what many people need to get back on track with their payments.

Contact Our Debt Reorganization Attorneys

To arrange a free initial consultation to discuss your loan and how a Huntsville attorney can help you escape the financial crisis you face, please contact our Alabama law firm today at 256-715-9915.