Chapter 13 Bankruptcy Can Improve Your Financial Future in 3 Ways

A Chapter 13 bankruptcy is reorganization for individuals who make a certain income and debt criteria under the bankruptcy law.3 Ways Chapter 13 Bankruptcy Can Help

The three ways that a chapter 13 bankruptcy can improve your financial are:

1. A chapter 13 bankruptcy lets you to pay unsecured debt, like credit cards, through a payment plan.

2. You can force a repayment plan on the creditors if you have fallen behind in your mortgage, real estate, taxes or car loans that allows you to pay a portion of what is overdue overtime.

3. You can also pay income tax debt over time.

The chapter 13 plan will allow you propose to the bankruptcy trustee a repayment plan. You will be required to make your monthly payments on your mortgage or car loans and make a small payment to give back the monies that you owe current and pay any unsecured creditors, like credit cards, an amount equal to what’s called your disposable income.

You most likely stay on a chapter 13 plan from 3 to 5 years depending on your income. Are you in the St. Petersburg area looking for a St. Petersburg bankruptcy lawyer? Sunshine State Bankruptcy can help you with your chapter 13 bankruptcy plan today.

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