The key to Chapter 13 bankruptcy is the Chapter 13 Plan. This is the document that spells out how you will pay back your debts, and who will get paid. This is the document that also allows you to provide for keeping or surrendering property.
Your Chapter 13 Plan must be filed with the petition or within 15 days after the petition is filed.
The trustee distributes the funds to creditors according to the terms of the Chapter 13 Plan, which may offer creditors less than full payment on their claims.
The Chapter 13 Plan will break down payments according to the three types of claims – priority, secured, and unsecured. I will walk you through the types of claims, and draft the Chapter 13 Plan to ensure that everything is handled properly.
Within 30 days after filing the bankruptcy case, even if the plan has not yet been approved by the court, you must begin making plan payments to the trustee. The trustee will hold the Plan payments in his or her account until the judge approves your Plan. If the Plan is not approved and your case is dismissed, no worries – the money will be sent back to you.
The Chapter 13 Plan is an important document, as it controls your entire fate during your Chapter 13 bankruptcy case. That’s why I do everything possible to make sure it’s done right the first time – never risking your chances for success.
When you’re ready to get out of debt and get a fresh financial start, all you need to do is contact me or click at the top of this page to set up a free, no-obligation phone consultation.
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