Chapter 13 Basics
A chapter 13 bankruptcy is a reorganization of your debt. It can help you save secured items, and will eliminate unsecured debt. Depending on your income and monthly expenses, you will pay back some of your debt. That payment is going to be based on what you can afford to pay each month based on a budget that we will help you prepare and that will be filed with your case.
Chapter 13 Bankruptcy Lawyer in Boise ID
A Chapter 13 can stop a foreclosure and help you save your house. If you were unable to make payments, but you can now afford to continue your regular monthly payments, a chapter 13 bankruptcy allows you to catch up the missed payments in 3-5 years without interest. In some cases, we may even be able to eliminate your second mortgage.
A chapter 13 can also help you save other secured items or collateral, such as cars or furniture, if you are behind on your payments. Often times with vehicles and furniture, we can even make arrangements for you to keep the items and only pay the value of those items rather than what you actually owe on them. Additionally, a chapter 13 will help you catch up on back taxes and child support. Some taxes may even be eliminated entirely through the bankruptcy.
Unsecured debt, such as medical debt and credit cards, are also dealt with in a chapter 13. Depending on your current income and expenses, your unsecured creditors may receive some payment during the life of your bankruptcy but usually do not get paid in full. Regardless of how much they get paid, at the end of your plan the unsecured debt is discharged and you are no longer responsible for that debt.
My office offers a no-obligation consultation to discuss whether chapter 13 bankruptcy will work for you. If you live in Southern Idaho or Eastern Oregon and would like to discuss your specific situation, contact my office immediately.