Helping Clients in Topeka, KS, Understand What Chapter 13 Bankruptcy Means
Many people turn to bankruptcy because they have reached the point where their salary is being garnished to cover debts. They are being threatened with repossession of their vehicle or mortgage foreclosure. They realize that they have reached the end of their rope financially. Still, some are reluctant to seek the protection offered by bankruptcy because they have heard that there has been some changes to bankruptcy laws.
A Chapter 13 bankruptcy attorney in Topeka, KS, may be able to clear up some of the questions a person has. Chapter 13 bankruptcy is a form of debt reorganization. As opposed to Chapter 7 bankruptcy, which provides for a discharge of some liabilities, Chapter 13 allows an individual to repay some or part of their debt for the next three to five years.
Chapter 13 bankruptcy is used for individuals who do not qualify for Chapter 7 bankruptcy relief. A person can find out whether they qualify for Chapter 7 or Chapter 13 bankruptcy by talking to an experienced bankruptcy attorney in Topeka, KS. Before filing for Chapter 13, an individual may be required to undergo credit counseling.
Chapter 13 bankruptcy may be able to prevent a foreclosure or repossession of vehicles. It allows people to repay what they owe over a longer period. To qualify for Chapter 13, a person must be employed or have some form of income that allows them to fund their bankruptcy plan.
Learn about the legal service offered at Hooge John R Attorney at Law PA.