Queens Chapter 13 Bankruptcy Attorney
Here to Help When You Need It Most
If you are struggling to pay your debts, Chapter 13 bankruptcy may be the solution you need to start regaining control of your finances. Our experienced bankruptcy attorney in Queens can guide you through the filing process and help you set up a repayment plan.
What is Chapter 13 Bankruptcy?
Chapter 13 allows you to repay secured debts like a car or home while also liquidating unsecured debt.
Contact the Law Office of Seni Popat online or call (718) 340-3385. Find a way out of debt with a Queens Chapter 13 bankruptcy attorney today. We have offices in Hicksville, Deer Park, and Brooklyn and offer services in English and Hindi.
Some Chapter 13 Basics
Benefits of Chapter 13 Bankruptcy
Chapter 13 bankruptcy is best known for enabling individuals and couples to keep their property as they continue to make payments on their debts. Eligible persons must have a regular income and pass the means test.
A typical repayment plan lasts three to five years. The time period is determined based on the individual’s income and is intended to allow him or her to make payments according to what they can afford.
There are several advantages of filing for Chapter 13 bankruptcy, including:
- Stops collection actions by creditors
- Ends wage garnishments
- Prevents foreclosure
- Allows a person to stay in their home
- Provides a structured way to repay debts
- Enables tax debt repayment or even elimination
- Shows up on a credit report for seven years (three years less than Chapter 7)
- Allows individuals to reschedule most secured debts
The Downsides of Chapter 13
There are, of course, some downsides to filing for this type of bankruptcy. First, while you are in bankruptcy, you will not be able to incur new debt. Also, you are not permitted to sell or transfer any property without court approval. Further, Chapter 13 bankruptcy will remain on your credit report for seven years.
What Qualifies You for Chapter 13?
Before filing for Chapter 13, understand that not everyone is eligible to file. In order to file, you must fulfill the requirements.
To qualify for Chapter 13 you must be able to prove:
- That your income tax filings are current. Provide documentation for the last 4 years.
- That you have sufficient disposable income to repay your debts and live comfortably.
- That your debt is within the limitations.
- That you are not filing for Chapter 13 due to owning a business that is in debt.
If you are unable to prove these, your bankruptcy case will be dismissed. If you have documentation for these, reach out to a qualified Queens Chapter 13 Bankruptcy Attorney like Attorney Seni. He can help you get started on your filing today!
Ready to get started on the Chapter 13 process? Call(718) 340-3385 for a free initial consultation with our bankruptcy attorney in Queens. We serve clients in Nassau, Suffolk, and Brooklyn!
How Does Chapter 13 Work?
By filing Chapter 13, this means that you will pay off your debt with a repayment plan that lasts 3 - 5 years.
Below is an overview of the Chapter 13 process:
- Attend a mandatory credit counseling course approved by the U.S. Trustee's office.
- File bankruptcy and pay the filing fee. Present the certificate of completion for the credit counseling course.
- Propose a repayment plan to the creditors and bankruptcy court. The creditors and trustee are allowed to reject your plan, and you are allowed to make changes until everyone is satisfied.
- Attend the confirmation hearing. Creditors will be able to object o your plan, but if no one objects, then the bankruptcy court will approve it.
- After the confirmation, you must follow and complete the repayment plan.
Can Chapter 13 Payments Be Reduced?
Chapter 13 repayment plans last 3 - 5 years which is enough time for drastic changes to happen in your life. If something happens and your financial situation is affected, you may get a temporary or permanent reduction in your payment plan.
Common reasons why payments may be reduced:
- Loss of employment
- Major medical bills
- Moving costs
Some Disadvantages to Chapter 13
We have already mentioned the advantages of filing for Chapter 13. If you are trying to decide between Chapter 7 or this, it is fair to also discuss the disadvantages of filing.
Below are the disadvantages of filing for Chapter 13 bankruptcy:
- The repayment plan will last for 3 - 5 years.
- Your disposable income will be committed to paying off the debt at the time of filing.
- Chapter 13 bankruptcy will appear on your credit score for 15 years.
- You won't be able to file for Chapter 7 bankruptcy for six years
If you are still unsure, reach out to our Queens Bankruptcy Attorney for guidance. We can take a look at your situation and determine which option will work best.
Chapter 7 vs Chapter 13
The difference between Chapter 13 bankruptcy and Chapter 7 is that Chapter 7 focuses on getting rid of unsecured debts like medical bills, personal loans, and credit cards.
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We Can Help You File for Bankruptcy in New York
Although bankruptcy should always be a last resort, the process has changed a lot of people’s lives for the better. When you come into the Law Office of Seni Popat for your free consultation, our Chapter 13 lawyers can help you understand the advantages and disadvantages of filing for Chapter 13 bankruptcy in Queens.
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For answers, reach out to our experienced bankruptcy lawyer at (718) 340-3385 today.
Convenient locations in Glen Oaks, Deer Park, Brooklyn, and Hicksville.
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