Considering Chapter 13 Bankruptcy

Chapter 13 bankruptcy is sometimes called the wage earners' bankruptcy because most people work full time or have a regular source of income. Even when working two or three jobs, people can be thrown off track by illness, divorce or other unplanned events. If this sounds like you, we may be able to help.

At our Greenville, North Carolina, law firm, our attorney has been helping clients start again through bankruptcy since 1983. Our clients have missed house and car payments, are delinquent on their taxes and have outstanding student loans. They are harassed by creditors and may have experienced the embarrassment of wage garnishment.

People should not be ashamed about considering bankruptcy. We help clients understand that Chapter 13 bankruptcy is a financial tool that is intended for people just like them — people who need a fresh start.

Benefits Of Chapter 13

We advise clients about the benefits of Chapter 13:

  • You should be able to keep your house, car and other property.
  • Foreclosure and repossession proceedings against you will stop.
  • The automatic stay will protect you from creditor harassment, phone calls and wage garnishment.
  • The Chapter 13 repayment plan may allow you to discharge some of your debt after you complete your repayment plan.
  • Interest and late charges may be eliminated.

Limitations Of Chapter 13

We discuss the disadvantages of Chapter 13:

  • A Chapter 13 bankruptcy can take three to five years.
  • It is very strict. If you fail to make payments, you will no longer have the protection of the court and will be liable for your debts.
  • You must take a credit counseling course.
  • You will need to rebuild your credit.

How Chapter 13 Bankruptcy Works

After filing the required documents (which include a proposed repayment plan), you will attend a creditors' meeting. Known as a 341 meeting, it allows your creditors to ask questions about your financial situation and your repayment plan. Once the plan is accepted by your creditors and the court, you will pay a set amount to the bankruptcy trustee every month and the funds will be distributed to your creditors.

We Welcome Your Call

Make a fresh start. For a free initial consultation with our experienced lawyer, contact us today. Call 252-558-1834 to discuss filing for Chapter 13 bankruptcy.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.