Bankruptcy – Chapter 13
Most people who need to save a home or car will turn to a Chapter 13 bankruptcy to help them re-organize their debts. Maxwell Attorneys LLC can help almost anyone can file a Chapter 13 bankruptcy in Southeastern Wisconsin. If you make too much money to file a Chapter 7, you usually qualify to file a Chapter 13.
Chapter 13 bankruptcy can be used re-organize your debt into a consolidated single repayment plan that permits you to catch-up on back payments for your mortgage or car loan. A typical Chapter 13 plan can last between three and five years. You can also use Chapter 13 to wipe out most of your other unsecured debt and get a fresh start just as can be done with a Chapter 7 case.
You can use Chapter 13 to re-organize your debt if you meet some basic requirements:
- You must have a regular source of income – but this doesn’t necessarily mean a paycheck.
- You must have enough money to pay your normal basic living expenses (rent/mortgage, food, utilities, gas, etc.) and pay the Chapter 13 plan payment and usually some small amount for payment to creditors that aren’t included in the Chapter 13 plan. Car payment and mortgage loan payments that are behind will be covered with the Chapter 13 plan.
Chapter 13 CAN save your home:
- If you are behind on your mortgage payments OR if your house is in foreclosure OR if your house is about to be sold at Sheriff’s sale – we can help you save your home. The Chapter 13 plan can force your mortgage company to start accepting your mortgage payments again and to allow you to repay your missed payments over as long as a five year period.
Chapter 13 CAN save your car:
- Wisconsin recently implemented a new law that governs repossessions. Now, a bank or car finance company does not have to go to court to gain repossession of your car unless you demand a court hearing. All the bank or car finance company has to do is to send you a notice. If you do not request a hearing within 15 days, they can take your vehicle without a judgment.
Chapter 13 CAN give you relief from creditors even if you filed bankruptcy before:
- If you received a Chapter 7 discharge in the last eight years, you may still be able use Chapter 13 to provide you some relief from creditors.
- Sometimes a Chapter 13 can be more advantageous than a Chapter 7 due to the fact that certain debts would not be discharged under a Chapter 7, but may be under a Chapter 13.
If you are behind on your car payment or mortgage loan, call Maxwell Attorneys LLC at 414-727-0123 right away to schedule a free consultation appointment. Don’t wait until it is too late for us to use Chapter 13 to protect your rights.
