Chapter 13 Bankruptcy
Chapter 13 bankruptcy is considered when a person wishes to eliminate, reduce or reorganize certain types of debts but is not eligible for a Chapter 7 bankruptcy, would lose property in a Chapter 7 bankruptcy, or needs the benefits of the bankruptcy laws for an extended period of time. Chapter 13 bankruptcy reorganizes a person's debts by utilizing a plan to give a person a more manageable monthly payment. The typical Chapter 13 bankruptcy will last 3 to 5 years.
As part of your free initial consultation, we can draft a projected plan to give you an idea of whether Chapter 13 bankruptcy is affordable.
Chapter 13 bankruptcy can be complex, so hiring an experienced Chapter 13 bankrutpcy attorney is highly recommended. Whether you need to save your home from foreclosure or need relief from high debt, trust EDF Law to determine if Chapter 13 bankruptcy is right for you. Call to speak to a bankruptcy attorney with over a decade of experience helping people file Chapter 13 bankruptcy.
Common Reasons People File Chapter 13 Bankruptcy:
Eliminate or reduce
credit card debts
Eliminate or reduce
Stop utility shut-offs & eliminate or reduce delinquent utility bills
Facing delinquent taxes
Eliminate or reduce deficiencies owed on vehicle loans or repossessions
Eliminate 2nd or 3rd
Reduce vehicle loans
or interest rates
Stop creditor harassment
* Not all debts can be eliminated by filing Chapter 13, call us to find out if your debt can be eliminated with this option.
Chapter 13 Bankruptcy may be your best option!
When will my creditors stop harassing me?
As soon as your bankruptcy case is filed, with limited exceptions, your creditors must stop all collection efforts, including phone calls and letters as well as other collection attempts such as civil lawsuits and foreclosures.
How much are the fees to file a Chapter 13 bankruptcy case?
The fees to file Chapter 13 bankruptcy will vary slightly depending on how much work is needed in your particular case. An experienced Chapter 13 bankruptcy attorney should be able to provide you with a fee quote after the initial consultation.
At EDF Law, we provide competitive rates and affordable payment plans that fit most budgets. We understand this may be a difficult time for you and the last thing you need to do is overpay for legal fees. Our initial consultations are always free.
Is Chapter 13 bankruptcy my best option to save my house from foreclosure?
Chapter 13 bankruptcy may be your best option depending on your circumstances. Chapter 13 bankruptcy can help extend the time required to pay the lender the amount you are behind. Instead of paying the lender a lump sum for the amount you are behind, Chapter 13 bankruptcy can break up the delinquency into monthly payments. Also, Chapter 13 bankruptcy provides a chance to reorganize all of your debt, not just your home loan. Reorganizing all of your debt may free up the necessary funds to bring your home loan current, which may allow you to avoid the loss of your home through foreclosure.
Most people facing a foreclosure will focus solely on the foreclosure, which could be a mistake. A review of your overall debt situation as well as your household budget is crucial in determining whether you can realistically keep your home.
Options such as loan modification requests or Pennsylvania court foreclosure programs focusing only on the home loan can lead to problems when the mortgage lender does not want to accept a loan modification or the process takes far too long to resolve. The longer it takes to resolve the loan modification, the higher the arrearage amount for the home loan becomes, making it harder to explore other options like Chapter 13 bankruptcy. It is our opinion that a person needs to look at more than just their mortgage issue and instead look at their overall financial situation. True debt relief should not be a temporary fix.
BUYER BEWARE: Foreclosure rescue services should be used with great caution. Companies that offer foreclosure rescue services generally do not work or are outright scams. Avoid anyone that requires you pay them up-front to "negotiate" a loan modification or other home loan services. Avoid anyone that recommends that you stop communicating with your mortgage lender. Avoid anyone who suggests you send them your mortgage payments instead of sending those payments directly to your mortgage lender.
Hiring the wrong company can have disastrous effects on your ability to save your home from foreclosure. At EDF Law, we provide a free consultation to explore all of your possible options. Give us a call for real help in saving your home from foreclosure.
We are a debt relief agency that helps people file for bankruptcy relief pursuant to the Bankruptcy Code as well as helping people avoid bankruptcy when it is the more appropriate choice.