Chapter 13 Bankruptcy
Pembroke Pines Chapter 13 Bankruptcy Lawyer
Are you drowning in debt despite being gainfully employed? You may qualify for Chapter 13 bankruptcy. Mary Jo Rivero, P.A. can help you better understand your bankruptcy options and guide you through the filing process. Chapter 13 bankruptcy allows those receiving regular income to set up a payment plan that will pay down all or part of their debts.
A Pembroke Pines Chapter 13 bankruptcy lawyer with over 30+ years of experience, Mary Jo Rivero, P.A. understands how the process works and how to advocate for her clients’ best interests. Attorney Rivero serves both English and Spanish-speaking clients.
Benefits of Chapter 13 Bankruptcy in Florida
When you file for Chapter 13, you’ll have the freedom to:
- Restructure your car payments
- Stretch payments over a three-to five-year period
- Reduce the amount of your payments over time
- Help you catch up on delinquent mortgage payments and save your home from foreclosure
How the Chapter 13 Bankruptcy Process Works
In the simplest terms, the debtor makes a monthly payment to a trustee, who then distributes that payment to debtors. The trustee is someone appointed by the federal court where the bankruptcy filing took place. The key issue for the debtor and their Pembroke Pines Chapter 13 bankruptcy lawyer to work out is the amount of the monthly payment.
That means doing a realistic assessment of the income necessary for the person in debt to maintain a basic standard of living. What is “basic” is a matter of subjective judgment and an experienced lawyer can be a valuable ally in advocating for the person in debt.
The payment plan will also factor in the amount of debt to be paid, breaking it down into these categories…
- Priority Debt: These are payments ranging from child support and alimony to any past due taxes. These get taken care of first.
- Secured Debt: This is debt that was secured with collateral. Perhaps the debtor leveraged their house or car to get a loan and repayment of the loan is necessary to keep the property used as collateral.
- Unsecured Debt: All other debts fall into this category. In bankruptcy cases, these are often led by credit card debt, past-due medical bills, and others.
The payment of the debts must also factor in a fee for the trustee, often based on a percentage of the overall assets being dealt with.
Payment plans are typically structured to last 3-5 years. Any remaining debt is wiped out. Keep in mind that creditors will get the opportunity to contest a proposed plan if they believe they won’t be able to recoup a reasonable amount of what is owed. A Pembroke Pines Chapter 13 bankruptcy attorney, one who is familiar with the plans courts will typically approve, can work with their client to put together a realistic program that protects debtors while still being able to gain judicial sign-off.
Mary Jo Rivero, P.A. will examine your financial situation and determine if Chapter 13 is the best solution for your needs. We work with both English and Spanish-speaking clients from our Pembroke Pines office. Call today at (954) 945-7727 or contact us online to get a free consultation.