Chapter 13 is another form of bankruptcy that consumers typically enter into when they are looking for debt relief and Chapter 7 liquidation is not the way they want to go.  At Glen J. Lerner & Associates, we are able to help you understand the differences between these two forms of bankruptcy and assist you in choosing which is the best plan for you.

According to the U.S. Courts and Federal Judiciary, Chapter 13 is called "a wage earner's plan."  This form of bankruptcy allows those who file to come up with a payment plan that will allow the debtor to repay  some or all of the debt that is owed to creditors.  A typical Chapter 13 bankruptcy filing will last anywhere from three to five years and will allow a debtor to pay installments that will go towards the total amount of debt or the proposed amount of debt owed.  During the time the debtor works with this payment plan, it will be illegal for any creditor or debt collector to contact the debtor directly, allowing them to focus on generating income and maintaining a relatively normal lifestyle, while also working off their debt.

Depending on the individual situation of the debtor, there are some advantages over filing for Chapter 13 as compared to Chapter 7 bankruptcy liquidation.  For instance, when an individual decides to go through Chapter 13, they may be able to immediately stop foreclosure proceedings and work to remedy past-due mortgage payments along with the payment plan that is established through the bankruptcy filing.  Another advantage of Chapter 13 over Chapter 7 is that the debtor may be allowed to consolidate their debt into one payment, many times lowering the overall payment into an amount that is more manageable and more realistic.  Furthermore, Chapter 13 may be able to actually protect the credit of those individuals who have co-signed on loans or other lines of credit with the debtor, allowing them to remain unaffected personally through this proceeding.

There are eligibility requirements for Chapter 13 and the bankruptcy lawyers at Glen J. Lerner & Associates are eager to discuss whether or not this solution would work best for your situation and help your future financial life.

At Glen J. Lerner & Associates, we are able to inform you of every step of the Chapter 13 process and what to expect should you decide to file.  We have experience in taking many consumers through bankruptcy filings and we are confident that we will be able to keep you comfortable and confident in your decision to pursue Chapter 13.

However, because every situation is different, we encourage you to call today (702) 877-1500.  Schedule a FREE Bankruptcy Consultation with one of the skilled and experienced Las Vegas bankruptcy lawyers at Glen J. Lerner & Associates.  Allow us to assist you in determining if Chapter 13 is right for you.  Call today!