The experienced and reliable Chapter 13 bankruptcy attorneys at Weintraub & Selth, APC are here to answers all of your questions about bankruptcy, including possible alternatives that might suit your situation. Many of our clients reach out to us believing that bankruptcy is their only option. Often, because we have decades of experience, we are able to help many of them avoid bankruptcy. However, in some cases, Chapter 13 bankruptcy is the best option because it can eliminate or reduce many types of debt including:
- Car loans
- Credit card debt
- Medical bills
- Tax debt
Why Clients Decide to File for Chapter 13 Bankruptcy
Chapter 13 bankruptcy is the second most popular form of personal bankruptcy, second only to Chapter 7. If you are being pestered by debt collectors, have a steady income and assets, and the equity in your home is not protected by filing Chapter 7 bankruptcy, then Chapter 13 bankruptcy might be the best option.
Chapter 13 generally ideal for:
- Individuals who have fallen behind on mortgage payments
- Individuals who need time to repay taxes
- People who want to protect their homes from foreclosure
- Consumers who are being crushed beneath the burden of credit card debt
Weintraub & Selth, APC handles all types of bankruptcy cases and we will gladly help determine which path is best for you. Our legal team is committed to delivering aggressive and creative debt solutions at affordable fees.
Benefits of Filing Chapter 13 Bankruptcy
While Chapter 7 bankruptcy requires liquidation of some of your assets for repayment of your debt, Chapter 13 bankruptcy allows you to reorganize your debt and repay a small part before you receive a discharge. This typically is achieved after approximately three to five years of adhering to an approved repayment plan. The amount you must repay is determined in part by how much disposable income you have. Disposable income is typically defined as money you have left after paying your necessary living expenses.
After creating a strategic plan to help you realistically repay your debt, we will structure the debts that will be included in the repayment plan as well as the percentage of them that you will repay. The more of your debt we can discharge, the lower the percentage of debt you will have to repay. Once you complete the repayment plan, your remaining eligible debts will be discharged. In Chapter 13 bankruptcy, this may include unsecured debts such as medical bills and credit card debt.
Some debts cannot be discharged in Chapter 13 bankruptcy. These include:
- Certain taxes
- Child support and spousal support payments
- Most student loans
- Some types of personal injury or wrongful death judgments
To learn more about filing for Chapter 13 bankruptcy, please give us a call today at (310) 220-4147.