There are three different bankruptcies that are available to people out there. Chapter 13 allows you to reorganize your bills and at times even pay around 50% less on the bills that you owe. You can see how this would help you out if you are running short on money. If you are thinking about filing for Chapter 13 bankruptcy you should find an attorney who will help you out.
Most of the time when you file for Chapter 13 bankruptcy you won’t even need to go in front of a judge. When you file the petition with the clerk of court you will need to pay fees for the filing. The filing fee will run you $235, plus another $39 for an administrative fee. It’s not near as much as a Chapter 11, but a bit more than what a Chapter 7 will cost you.
Why File a Chapter 13?
Filing a Chapter 13 is a good idea for those people who have the money to be able to pay on their bills. If you are just running a bit short each month filing a Chapter 13 will let you reorganize the bills and give you a lot longer time to pay off the bills. You will need to provide a listing of your creditors and their addresses to provide the court with. Also how you will pay back the bills; this is where the attorney’s help will come in handy. With the attorney who has handled these types of cases before they will know how to file these forms and have them set up in the right way.
Finding an Attorney
When you go looking for an attorney to help file your Chapter 13 bankruptcy, you should compare several. Don’t pick the first one that you talk too, some attorney’s may not charge as much to take your case. While some others will accept payments for their fee, the only catch you will have with this is they will not file until you have fully paid their fees. But once you have hired them, you can refer the collection calls to their office. So it’s not a bad deal at all. Check in your yellow pages you will see pages and pages of attorney’s that only deal with bankruptcies. Of course you should pick one of those. Call them and ask about their fees and see if they accept payments. Sometimes you might want to meet with them in person too. This will give you the opportunity to see how the attorney is in person. Make sure you have no problem communicating with them, and that you feel comfortable talking to them.
Paying your Creditors
Like stated above you will need to come up with a payment plan, and provide financial records that will show that you will in deed be able to pay the plan that you have set up. Each month you will send the check in the amount agreed to in to the trustee who was assigned to your case. The trustee will than split up the check and send the payments to the right creditors.
** This is not legal advice. Please consult with a local attorney regarding your specific situation.**
About the Author – This article was provided by Gerrid Smith and sponsored by the Jodat Law Group in Sarasota, FL.
Filed under: Bankruptcy Law |