Debt Relief Through Chapter 13 Bankruptcy
If you have a steady income but are having trouble keeping up with your bills on a monthly basis, filing for Chapter 13 bankruptcy could provide the relief you need to get back on your feet. Chapter 13 bankruptcy, sometimes called the wage earner bankruptcy, allows you to repay some or all of your debt over a three to five year period according to a court approved repayment plan.
There are three main circumstances where people use Chapter 13:
- You are unable to file under Chapter 7 after failing the means test or having too much disposable income.
- You wish to cure a mortgage default. You will pay your regular mortgage payment, plus arrears and a trustee's fee.
- You have priority debts such as recent income taxes and need time to pay them.
Get the Relief You Need
Filing for Chapter 13 is similar in many ways to getting a consolidation loan that lets you make one payment to cover all of your debts. All unsecured debts, such as credit card debt, personal loans, old income tax debt, vehicle deficiencies and medical bills, can be included in your Chapter 13 filing. Also, as mentioned, you can cure your mortgage and avoid execution by taxing authorities.
Another major advantage of filing for bankruptcy is the automatic stay. The automatic stay stops all collection activity upon the filing of your bankruptcy petition. This means that you will not receive any more harassing phone calls or letters for debt repayment and any foreclosure, sheriff's sales, repossession actions or lawsuits will be stopped.
Call for a Free Initial Attorney Consultation
Contact our Collegeville, Pennsylvania office today to discuss your bankruptcy questions with a lawyer. You can reach us by phone at 888-773-6714 or via e-mail. We respond promptly to all phone calls and e-mails, usually within 24 hours.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.
