Chapter 13 Bankruptcy
In contrast to the relatively quick Chapter 7 process, Chapter 13 bankruptcy is a reorganization of a consumer’s finances that allows them to pay back something to creditors over a 3-5 year period based on their income for a family of their size. With the help of a bankruptcy attorney, Chapter 13 filers create a payment plan that allocates their disposable income to make a monthly, consolidated payment to creditors. We’re sure the reader would like to know: what constitutes disposable income? For purposes of bankruptcy, disposable income means what you have left over after subtracting allowed expenses from your gross earnings. Some expenses will be determined by your actual out-of-pocket costs; others will be set by national local standards as calculated by the IRS. The less disposable income you have, the lower the percentage of unsecured debts you pay back to creditors throughout the life of your Chapter 13 plan. At the end of the process, debts that remain outstanding are discharged.
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How to Screw Up Your Bankruptcy Discharge
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Are You Judgment Proof?
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What Property Can I keep In A Bankruptcy?
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How Often Can You File for Bankruptcy and Receive a Discharge?
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Why Chapter 13 Bankruptcy Has Your Second Mortgage Lender Feeling “Undersecured”
Americans Owe More Than Their Homes are Worth Even though the worst days of the housing crisis are behind us, many Americans owe more on their mortgages than their homes are worth. Some are severely underwater. With banks generally unwilling to offer lasting mortgage modifications, many consumers feel out of options when dealing with a…Read more
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I’ve Decided to File for Bankruptcy. Do I Need to Go through with My Short Sale?
If you’re in the middle of a short sale or just about to do one, you probably have a lot of questions. What is the difference between a short sale and a foreclosure? And what happens if you might file bankruptcy, as well? The benefit of continuing with a short sale after you’ve decided to…Read more