Chapter 13 is a debt reorganization plan designed to help individuals and/or small businesses who have fallen behind on their secured payments such as a mortgage or a car loan and need some additional time to catch up, though the lender wants all of the arrears and fees immediately. Chapter 13 may also be for individuals and small businesses which are not eligible for a Chapter 7 bankruptcy. For a period of three (3) to five (5) years, you will make monthly payments to a Chapter 13 Trustee to pay back some or all of your debt, depending upon your assets and/or income.
Following our first consultation, Andrea Silverman, PC will gather the necessary information to prepare the petition and plan on your behalf. The Bankruptcy Court requires your filing to contain a complete listing of all of your assets, debts, income and expenses. There are allowable exemptions to protect all types of real and personal property. We will review them together during our meeting. You are also required now by the Bankruptcy Reform Act of 2005 to get a credit counseling screening from an agency that has been approved by the Office of the United States Trustee and a debtor education course prior to being granted a discharge.
Immediately upon filing your case, you will be given the protection of the automatic stay which forbids all creditors from continuing any collection efforts without permission from the Bankruptcy Court.
About 30 days after filing, our New Jersey bankruptcy lawyer will accompany you to the only required appearance with the Chapter 13 Trustee.
At Andrea Silverman, PC, we will develop a reorganization plan that works for you and changes with you and your life for the duration of the plan.