Chapter 13 Bankruptcy Attorney in Connecticut
Reorganize Your Debt & Repair Your Credit
If you are considering
bankruptcy due to massive bills and the inability to meet your obligations, but earn
more than the limit set forth in the Chapter 7 means test, you may need
to consider filing a Chapter 13 bankruptcy. In a
Chapter 7 bankruptcy, which is known as a liquidation bankruptcy, one typically
has most of their debts discharged. Discharge removes all obligations
to pay back the debts which were included in your bankruptcy.
Chapter 13 bankruptcy, however, reaffirms the debts you have, but allows you to pay them back
over time, and sometimes even reduces the balance due and owing on the
debts. It is not a full repayment, and the schedule will be based upon
your disposable income. A regular source of income is usually required
by the rules in order for the trustee and the court to approve a schedule
of payments which you can comply with.
Get Relief from Second Mortgages and
Save Your Home
The Connecticut law practice of The Woods Law Firm, LLC is experienced
in helping debtors restructure their debts and can assist with devising
a repayment schedule. The schedule is known as a Chapter 13 reorganization
plan. Typically, your attorney will draft a plan explaining to the court
and your creditors how you intend to repay the debts and clear your record of debt.
As long as all payments are made on time, you are protected from any collection
efforts. Payments are made directly to the trustee that is appointed to
your case to oversee disbursement of funds to the individual creditors.
One advantage of a Chapter 13 bankruptcy is the real possibility of having
a second mortgage on your home released, if the value of your home is
less than the amount owed on your first mortgage. This may also apply
to third mortgages and home equity lines of credit.
To find out more about how we can help you in your bankruptcy, contact
our firm for a
free evaluation of your situation.
Contact a Hartford County bankruptcy attorney from our firm now.