Chapter 13 Bankruptcy Lawyer-Orlando

Chapter 13 Bankruptcy is a solution for those persons who do not qualify for Chapter 7, or those who need time to pay off certain debts and have enough income to make payments through a repayment plan administered by the United States Bankruptcy Trustee.  Debtors under Chapter 13 will either make full or partial payments to their debtors through a plan administered by the bankruptcy court. The debtor must submit a plan which must be approved by the Bankruptcy Court.  Monthly payments are then made to the bankruptcy trustee who then makes payments for the debtor in accordance with the terms of the repayment plan.  The repayment plans last anywhere from 3 to 5 years. If at the end of the repayment plan the debtor has made all of their payments most unsecured debt which is left over and is dischargeable will be wiped out.

Who Can File Chapter 13 Bankruptcy?

It is actually easier to qualify for Chapter 13 than for Chapter 7 Bankruptcy.  Debtors do not have to pass a Means Test to qualify, but they must have a present source of income to be able to make the payments submitted as part of a 3 to 5 year re-payment plan.  If a debtor qualifies for Chapter 13, and their re-payment plan is accepted by the Bankruptcy Court, the debtor must be prepared to make their first payment within 30 days after they file for bankruptcy. Therefore it is important to make sure the re-payment plan is affordable and can be carried out by the debtor.  If it appears from the re-payment plan and the income of the debtor, the Trustee and Court may not approve the re-payment plan and the debtor must re-submit the re-payment plan until is accepted by the Bankruptcy Court.

Conclusion:

In order to make the most of a bad situation, debtors must learn from bankruptcy and demonstrate greater financial responsibility in the future. A lawyer experienced in bankruptcy law is in a strong position to advise consumers not only before and during the bankruptcy process, but also after, guiding them through the necessary steps to improve their credit ratings and avoid future financial catastrophes.

Call 407-877-7327 and ask to speak to me. Mark Cressman - An Orlando Bankruptcy Lawyer