Chapter 13 Bankruptcy
The difference between Chapter 13 bankruptcy and other types of bankruptcy is in the amount of property liquidated and the length of time it takes to satisfy the requirements of the bankruptcy plan. David A. Himes and Associates PLLC brings professional and reliable Chapter 13 bankruptcy services to Spring, TX and the surrounding area.
There are several requirements that must be satisfied in order for the court to approve a Chapter 13 bankruptcy. Some of these requirements include:
• Good Faith—You must intend to follow through completely on the bankruptcy plan. You cannot misrepresent your finances or attempt to perpetrate fraud on the court.
• Meet the Best Interest of Creditors—The bankruptcy plan must pay priority claims like child support, tax debt, and domestic support.
• Best Efforts—You are required to propose a plan that encompasses your very best effort to meet your obligations.
Chapter 13 bankruptcy requires a court appointed trustee to serve as the point of contact for you. In most cases, you are not required to liquidate all of your assets to pay your creditors, as you would be if you filed other types of bankruptcy.
While you are on Chapter 13 bankruptcy plan, you must make your monthly payments and you must carry insurance on any collateral. Chapter 13 bankruptcy can last much longer than other forms of bankruptcy, typically 3 to 5 years to complete the entire plan.
When your finances force you to consider a Chapter 13 bankruptcy plan, do not do it by yourself. Contact the bankruptcy experts at David A. Himes and Associates PLLC in Spring, TX and let us help you with it.