What You Should Know about Chapter 13 Bankruptcy Des Moines

by | May 22, 2013 | Lawyers

Recent Articles

Categories

Archives

The purpose of Chapter 13 Bankruptcy Des Moines is to give a debtor a new beginning when they are unable to pay debts. The usual reasons cited for bankruptcy include medical bills, unemployment, and excessive credit car debt. You can file bankruptcy in two ways. One method is to file a petition with the court. The second method, which is not used often, is to have creditors get an order from the courts that declare a person bankrupt.

Many debtors choose Chapter 13 Bankruptcy Des Moines when they desire to repay their debts, but do not know how. Under Chapter 13 Bankruptcy Des Moines, you can pay back debts within three to five years at a lower interest rate. The nice thing about Chapter 13 Bankruptcy Des Moines is you can keep your assets. However, this kind o bankruptcy is reserved for those with a regular income who can afford to pay back debts in the time frame.

Your first court appearance will be short. Be prepared to answer questions. You will likely see a trustee instead of a judge at the initial visit. You may be asked about your assets, where you live, pending lawsuits, and if you are going to inherit anything from relatives. Your creditors will not be at the hearing.

An attorney will manage all court proceedings and paperwork for you. A plan to repay debts will also be arranged by the courts. That safeguards debtors and creditors. After the court devises the plan, the payments will typically begin within 30-45 days. Though a trustee is not needed, it is advised in case you have any issues. The creditors must abide by the plan and they can not collect anything further from you. You can opt for a complete discharge after the debts have been paid. If a creditor disagrees with a repayment plan, they can file an objection. However, they do not have many options once the plan gets approved.

You can not file for bankruptcy 180 days following a discharge. Fees will also apply to court filings. The average fee is $239 in addition to administrative fees. The fees may be paid in installments with the court’s permission. Bankruptcy is a ood way to clear debts, but it must be followed according You can not file for bankruptcy 180 days following a discharge. Fees will also apply to court filings. The average fee is $239 in addition to administrative fees. The fees may be paid in installments with the court’s permission. Bankruptcy is a good way to clear debts, but it must be followed according with the help of a professional lawyer.

 

Related Articles