Talk to a Lawyer About How Chapter 13 Benefits You
Chapter 13 bankruptcy is a court-ordered procedure that enables individuals with regular income to develop a plan to repay all or part of their debts. Also called a "wage-earner's plan," Chapter 13 allows a debtor to keep property and pay debts over time — usually a three to five year period.
There are many benefits to filing Chapter 13 bankruptcy. At The Law Offices of Neil Crane, LLC, in Hamden, Connecticut, we explain these benefits to our clients:
- Immediately stopping foreclosure: Filing for Chapter 13 bankruptcy provides an immediate automatic stay against all creditor actions, including the immediate stoppage of a foreclosure action or sale.
- Creating a plan for repayment: It creates a plan for the repayment of secured debt, including a defaulted mortgage obligation over three to five years. Payments are made pursuant to a court-approved Chapter 13 Plan created by the debtor's counsel in accordance with Bankruptcy Code provisions and the debtor's household income.
- Modification of your full obligation for the loan: Chapter 13 bankruptcy allows for de-acceleration of the mortgage such that your obligation to repay the entire loan may become the repayment of the loan arrearage over time. Regular monthly payments are resumed as of the date of your next scheduled monthly payment, possibly at a lower payment.
- An opportunity to sell your home instead of foreclosure: Chapter 13 bankruptcy may create an opportunity for the homeowner to voluntarily sell their home rather than lose it through a strict foreclosure or court-ordered judicial sale.
- Repayment of different types of loan obligations: Chapter 13 bankruptcy allows for repayment of other non-consensual lien obligations such as delinquent taxes, water obligations, sewer obligations, state or federal taxes, and judgment lien obligations.
Contact Us Regarding Chapter 13 Bankruptcy
We offer a free consultation. Please do not hesitate to call us today at 888-249-3027, toll-free 1-800-616-DEBT, or complete our online contact form to discuss your questions and concerns with an experienced attorney.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.
