If you’re curious as to what the Chapter 13 bankruptcy actually is then you’re in the right place. This is also referred to as a wage earner’s plan and under this specific chapter the debtors will propose somewhat of a repayment plan. Chapter 13 bankruptcy Conyers, GA will give you the installments to the creditors over a period of time. If the debtor has a current monthly income that is less than the common median then the plan will be for three years. The circumstances are different if the court approves that it should be longer. If the debtor has an income that is greater than the median than the plan will usually be for 5 years.
There isn’t a single case when the period is going to last longer than five years. During this period of time, the law is going to forbid any creditor from starting or continuing on with an effort for collection. The chapter 13 bankruptcy Conyers, GA will discuss the advantages of choosing this type of plan. Do know that there are eligibility requirements and to make the plan work you have to meet these requirements.
This is a chapter that will offer various advantages over the liquidation alternative. The chapter 13 bankruptcy Conyers, GA is the most significant as it offers an opportunity for the resident’s home to be saved from foreclosure. If you choose to file this chapter, then the individuals will halt the foreclosure, but they may have them pay certain mortgage payments over a period of time. It will allow the individual to schedule their secured debts other than the mortgage for their home. If you are the primary residence of this home, then you do have benefits if you choose the chapter 13.
Chapter 13 bankruptcy Conyers, GA may lower the payments of the home residents and it will also provide a unique provision which will, in defense, protect a third party, who is liable with the debtor or the consumer debts. This is a provision which can protect the co-signers. This can also be referred to as a consolidation loan in which that individual will make the payments to a trustee who will in turn distribute the payments to other creditors. Those individuals will not have contact with these creditors because the chapter 13 protects it. This is an important chapter to be aware of before you hire a lawyer or speak with someone who is going to determine your debt outcome or foreclosure.