Chapter 13 Bankruptcy Attorneys

For years, Brock & Stout has helped people in Alabama and Georgia decide whether Chapter 13 fits. Chapter 13 is a court-supervised repayment plan for people with regular income who cannot pay all debts as they come due. It is often used to catch up a mortgage or car loan while putting unsecured debt in the plan.

A plan has to work on your budget and meet the court’s confirmation rules. Plan length is usually three to five years. Unsecured creditors sometimes receive only a portion of what they are owed. That depends on income, assets, and bills that have to be paid first. It is not a promise that unsecured debt will be paid at “cents on the dollar” or wiped out without payment. Chapter 13 can help you keep a home or car when you can make the plan payment and stay current on the ongoing mortgage or lease. Compare the chapters with the Chapter 7 vs Chapter 13 tool, or walk through typical steps on the bankruptcy process timeline.

Filing usually starts the automatic stay, which can pause many lawsuits, garnishments, foreclosures, and repossessions. The stay is not absolute. Some actions are excepted, and a creditor may ask the court to lift it. After filing, a trustee is assigned. You usually attend a meeting of creditors about a month later. Meetings are often short, but the trustee can continue a meeting or ask for more information. We help you prepare.

If you complete the confirmed plan and meet the other requirements, the court may wipe out debts the law allows to be wiped out. Collectors generally cannot chase you personally on those debts. Some debts survive, including most student loans. Those loans are usually not wiped out, but while the Chapter 13 case is open the stay typically pauses ordinary collection, so you generally do not make the regular payment to the servicer. Valid liens can remain. We can walk the entire process with you. Call or request a free consultation.