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Chapter 13 Bankruptcy McKinney TX
When it comes to settling debts, there are a number of ways you can go about it. One of the methods is filing Chapter 13 bankruptcy, commonly known as “wage earner” bankruptcy. A long-term solution to personal bankruptcy, Chapter 13 repayment plans are the secure way to ensure that you remain in your home and in possession of your vehicle and other belongings. At Littlefield Law Firm, our Chapter 13 attorneys are well versed in the requirements and proceedings involved with bankruptcy. So you can be confident that we will advocate for you to get a fair repayment plan.
Filing Chapter 13
There are several basic requirements that you need to meet before filing Chapter 13. First, you need to have less than $394,725 in unsecured debts or less than $1,184,200 in secured debts. Second, you must be filing as an individual or sole proprietor of a small business. As a result, you cannot file for Chapter 13 bankruptcy if you are a large business or an individual with an amount of debt that exceeds those limits.
Once you decide that you will be filing Chapter 13 and you meet the requirements, you and your Chapter 13 attorney will create a repayment plan to repay your debts. This often involves reorganizing the debtor’s payment obligations. Your attorney will then submit that plan to the court. Once the court approves the plan, it will appoint a trustee for the case. They serve as a conduit through whom the payments will go to creditors. The Chapter 13 bankruptcy rules require a trustee to ensure the monies are collected and paid to creditors, but unlike Chapter 7 filings, the trustee cannot repossess or liquidate your assets.
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Chapter 7 vs Chapter 13
Personal Bankruptcy Chapter 13
For most individuals with regular income, personal bankruptcy through Chapter 13 is the best option for fixing their heavy debt. That’s because a Chapter 13 repayment plan protects you for 3 to 5 years from a seizure of assets or property by your creditors. As long as you are able to continue abiding by the agreed upon plan, your assets and property are safe. As a result, most homeowners with a regular income find personal bankruptcy Chapter 13 the most palatable. Our Chapter 13 attorneys know that no family wants to file bankruptcy, but sometimes it can be the only way forward.
Chapter 13 Repayment Plan
From mortgage debt to tax and business expenses, the Chapter 13 attorneys at Littlefield Law Firm have seen it all. But with that experience, we can create Chapter 13 repayment plans tailored to your needs. They will allow you as the debtor to manage your burden of debt. Typically, the total amount that you pay under Chapter 13 bankruptcy is the same or greater than under Chapter 7. The major difference is the amount of time that you are afforded to pay it back.
Chapter 13 Attorney
Chapter 13 attorneys at Littlefield Law Firm know the best way to advocate on your behalf in court. For Chapter 13 bankruptcy, that means getting a fair repayment plan that gives you enough time to stay current on your payments. More importantly, we work tirelessly to ensure you get all the legal advice that you need to make informed decisions about your finances. So don’t wait, call us today. Let’s get you back on the road to financial wellness.
Let Our Experience Be Your Guide.