Some Information about Chapter 13 Bankruptcy

Today, one of the best options for people who are facing great financial troubles is Chapter 13 Bankruptcy. It allows an individual to be discharged on all his current debts. With this filing, anyone could have a fresh start without thinking about debts. However, in order to enjoy these benefits, this filing needs to be approved first.

Before the Filing

A person who plans to file for Chapter 13 Bankruptcy needs to attend a credit counseling first.  This counseling should come from an expert that is approved by the trustee’s office. This is necessary in order to provide a person with everything that he needs to know regarding the filing.

This helps avoid having people file for bankruptcy with a lot of doubts and unclear thoughts in their minds. At least, people who would file for bankruptcy would know what they are getting into. Some information they need to know is that this filing would remain in their credit report for about 7 years.

After the Filing and Before Discharge

After the filing, the debtor will be required to provide some important documents like current tax returns, current pay stubs, social security card and more. Debtors much ensure that all of these documents are readily available for everything to go smoothly.

Before anyone is discharged of his debts, he needs to attend first a financial management class. Often times, this is provided by the chapter 13 trustee. This aims to provide people with ideas on how to do well with their finances and how to manage their money effectively in order to avoid filing for bankruptcy again.

What Chapter 13 could do?

Through the chapter 13 plan, it would stop mortgage companies from getting your property. It will give the debtor a chance to rearrange the payment to another 36 to 40 months. You do not have to worry anymore about previous payments.

After the filing for bankruptcy, the debtor could now start paying again for his property which was about to be foreclosed. The good news is that payment could start again and you don’t need to worry about fees of your late payments before.

Seek Professional Service

There are a lot of things to consider and to prepare for this bankruptcy filing to go smoothly. If you are on your own, most likely you might experience some problems since you are not well-versed with the law and all the requirements needed for this filing. It’s better to be with an experienced bankruptcy attorney.

Riverside Bankruptcy offers people with bankruptcy filing assistance in an affordable rate. We will ensure that everything would go smoothly and that your filing would have good result. It is also one of our aims to help you bring back your financial stability through having a fresh start.

 

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