Due to different circumstances in life, sometimes some people fall into a deep financial crisis. Just because your debts are accumulating, doesn’t mean you can just sell all your assets and pay your creditors. There are certain programs and bankruptcy alternatives that might work for your situation. If you are from Rockville, Maryland, and facing bankruptcy, call the best Chapter 13 Bankruptcy lawyers in Rockville to help you decide on which options best fit your financial standing.
If you’re not into liquidating all your assets and you have disposable income you can use – then Chapter 13 bankruptcy might just be the best option for you. This bankruptcy is also known as a repayment or reorganizational plan because instead of liquidating assets, you can extend your payment plan up to three to five years.
In this article, we’re going to share with you all the necessary information about Chapter 13 Bankruptcy in Rockville, Maryland.
Also known on different names such as repayment/re-organizational plan or the wage earner’s bankruptcy, Chapter 13 bankruptcy is the best choice for those who want to settle their unpaid debts without liquidating their assets. Under Chapter 13, you can save most of your assets through an organizational plan that almost lasts for three to five years. In those years, you have to make monthly payments which will be determined by the court of trustees.
Unlike Chapter 7 bankruptcy in which you have to liquidate some of your assets to your creditors, Chapter 13 will allow your repayment plan if you are qualified. The court of trustees or the bankruptcy court allows Chapter 13 for individual or an unincorporated business. This type of bankruptcy is also a better choice for you if you want an extension to your current payment plan but your creditors won’t allow it.
However, there are still limitations and exemptions from Chapter 13 bankruptcy – and not all debts are covered by this. Some of the debts you will repay under this bankruptcy chapter are:
Together with our team of bankruptcy lawyers in Kurland Law group, we can help you discharge or wipe out some of your debts. Unsecured debts such as credit card balances, utility bills, and other personal loans may be dealt with at the end of your repayment plan. Call us now to help you get started toward your debt relief.
Not everyone is eligible for filing Chapter 13 Bankruptcy. First and foremost, you must have a disposable income that can sustain your repayment plan. In some cases, the bankruptcy court or the court of trustees doesn’t allow bigger companies to apply specifically under Chapter 13, instead, they can apply for Chapter 11 bankruptcy. Here are some other qualifications to know if you are eligible for Chapter 13 bankruptcy:
Chapter 13 bankruptcy allows you to restructure your debt obligations and can help you avoid thousands of dollars in interest and penalty fees. In addition, Chapter 13 allows you to incorporate all of your debt into a supervised repayment plan, including your student loans, tax obligations, and government debt. Many people who don’t qualify for Chapter 7 find that Chapter 13 is their best option for easing the financial burden of excessive monthly payments.
If you can handle your debt but are concerned about your tight budget because of a job loss or reduction of income, Chapter 13 is often your best option. During your initial free phone consultation, an attorney will analyze your financial situation, provide a clear explanation of your debt-relief options, and give you an honest assessment of whether Chapter 13 is your best choice. In just a few months, your repayment plan can be in place, and you will have the financial breathing room your family needs every month.
The Coronavirus Aid, Relief, and Economic Security Act or CARES act which was signed by former President Donald Trump last March 2020, aims to help people affected by the pandemic. In this provision, some changes in the bankruptcy law can help or aid debtors who are already starting their repayment plan.
Such new provisions are an extension of your repayment plan depending on when you start your payment. It also helps filers for an early bankruptcy discharge which also depends on filers’ situation.
Call us now to discuss what the CARES Act’s new provisions can help with your bankruptcy filing. There are multiple benefits the newly signed law can help for bankruptcy filers and those who are heavily affected by the pandemic Covid-19.
Kurland Law Group has helped thousands of people restructure their debt and loan payments. The firm’s attorneys will work with you to find a structured repayment plan that works for you and will be acceptable to your creditors and the bankruptcy courts. Your attorney will handle everything, from negotiating better payment options with your lenders to structuring a plan and representing you in the courthouse.
Chapter 13 gives you the opportunity to:
Together with Kurland Law Group, we can help you start your filing for Chapter 13 bankruptcy. The process begins with disclosing all your assets, your financial situation, and all the debts you owe to your creditors. Your tax obligations also need to be submitted. After this, you have to fill up forms and other necessary steps and fees. You are also going to need to complete a credit counseling class as a mandatory step to the filing. After this, you will have fourteen days to submit your repayment plan unless your court provides you with an extension.
When you successfully applied for Chapter 13 bankruptcy and completed all your repayment plans, the next step is to go to your court of trustees. You must show proofs that you completed and are current with your child support, alimony, and other obligations. You also have to show evidence of the completed budget counseling course.
If you meet all the requirements, you are now eligible to wipe off all or some of the dischargeable debts.
One downfall to Chapter 13 bankruptcy is the negative effects it has on your credit report. Chapter 13 bankruptcy will appear on your credit report for up to seven years. However, just because you have a bankruptcy filing on your credit report doesn’t mean you’re going to suffer it forever. You can renew and make a fresh start after seven years.
Hiring the right lawyer can make a decisive difference in your future. Kurland Law Group is an established bankruptcy firm that helps people file for bankruptcy relief under the Bankruptcy Code.
Imagine a situation where you are stressed over your finances. To top it all off, credits, loans, and mortgages are piling up and some creditors are even harassing you for your payment.
We clearly understand your predicament. At Kurland Law Group, we are dedicated to providing the best service and experience from previous cases to help you get a grip of your situation. We can help you throughout the journey from filing bankruptcy to running errands of needed paperwork.
We want this step to be as much as less of a stress to you and help you towards your renewed financial wisdom. Call (301) 424-2834 or contact our law firm to arrange a free phone consultation. Worrying won’t help, Chapter 13 can.
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