A Chapter 13 bankruptcy offers some advantages over a Chapter 7 bankruptcy. The most significant of these is the opportunity to save your home from foreclosure.
In a typical Chapter 7 filing, which calls for a liquidation of your assets, you may ultimately lose your home to foreclosure if you have significant equity in the property. However, if you file your Chapter 13 petition in Lakeland, Brandon, or elsewhere in Florida, you are in a position to stop foreclosure proceedings and possibly even catch up with previously delinquent payments. However, during the Chapter 13 bankruptcy proceeding, you must continue to make all monthly mortgage payments if you hope to prevent foreclosure.
A Chapter 13 proceeding requires a payment plan to be submitted to the bankruptcy trustee and to the creditors of the debtor. If the creditors and the trustee approve the plan, the debtor begins making monthly payments to the trustee who then distributes the funds to the creditors. While under Chapter 13 protection, the debtor has no contact with creditors and communicates any payment problems or questions directly to the bankruptcy trustee.
Skilled Brandon and Lakeland Chapter 13 bankruptcy attorneys
A Chapter 13 filing is more complicated than a Chapter 7 filing. A Chapter 13 bankruptcy requires a strong understanding of the federal and state exemption amounts and experience determining the eligibility of a debtor for Chapter 13 protection.
To be eligible for a Chapter 13 bankruptcy, a debtor must have:
- Individual unsecured debts that are less than $360,475; and
- Individual secured debts that are less than $1,081,475
A partnership or corporation is not eligible for a Chapter 13 bankruptcy.
Information to gather before filing a Chapter 13 bankruptcy in the Brandon or Lakeland area
When preparing a Chapter 13 filing, a debtor needs to collect a significant amount of information and file it with the court, including:
- A list of all creditors and the amount and nature of their claims
- The source, amount, and frequency of the debtor's income
- A list of all of the debtor's property
- A detailed list of the debtor's monthly living expenses
An attorney at Lakeland and Brandon, Florida-based Pilka & Associates, P.A. can help you to gather and file all of the required information. Additionally, we can advise you on whether you are eligible for Chapter 13 and what the most effective payment plan may be.
Before you come to your first appointment with a Pilka & Associates, P.A. bankruptcy attorney, please print out our online Bankruptcy Information form, provide the information requested, and bring the form with you. On this form, you supply all the details of your finances, creditors, and debts. This is the first step in our analysis of your financial past and our recommendations for the future.
Reach out to our Florida law firm
Our attorneys are dedicated to providing effective and efficient representation. For Chapter 13 guidance, call Pilka & Associates, P.A. in our Brandon and Lakeland, Florida area law offices at 863-236-9321 •(863) 687-0780 or contact us through this website.
We serve Chapter 13 bankruptcy clients throughout the Tampa Bay and West Central Florida including the following counties: