Snohomish County Washington Chapter 13 Bankruptcy Attorney
Chapter 13 bankruptcy ends up being the common fallback plan when Chapter 7 is not possible for most debtors, and you will want the help of a Lynnwood bankruptcy lawyer when you are preparing to file for Chapter 13. The repayment plan of Chapter 13 is the major sticking point because people have to successfully complete these plans to have a court discharge their remaining debts.
Chapter 13 is also known as the wage earner’s plan because it allows people with regular incomes to develop plans to repay all or part of their debts. A repayment plan will involve installments to creditors over the course of three to five years.
Chapter 13 Bankruptcy Cases
When your current monthly income is less than the state median, a repayment plan will be for three years unless the court approves a longer period for cause. When the debtor’s monthly income is more than the state median, then the plan will be for five years.
A plan for payments will never be for longer than five years. A court generally will not let you terminate a Chapter 13 repayment plan early unless you pay all of the debts in full or you suffer some kind of financial hardship.
While you are making payments under a Chapter 13 repayment plan, you will be able to keep the property you are making payments on. You can reschedule your secured debts to extend them over the life of your plan, and Chapter 13 trustees can be flexible on the terms of payments so you can stretch out debt payments, reduce the amounts of payments, or simply give up property that you are making payments on.
Call Us Today to Schedule a Free Consultation with a Snohomish County Chapter 13 Bankruptcy Lawyer
Do you need to file for Chapter 13 bankruptcy in Snohomish County? Bountiful Law can provide legal representation for you so you can have proper legal guidance through the entire process. Our firm knows how overwhelming the entire Chapter 13 ordeal can be for most people, so we work closely with you and make sure you do not have to handle anything on your own. You can call 425.775.9700 or contact us online to receive a free consultation that will let us examine your case and outline all of your legal options.