A Chapter 13 bankruptcy is a debt relief option where a plan is approved by a U.S. Bankruptcy Judge permitting a person to reorganize their debts.
A Chapter 13 bankruptcy can allow a person whose payments are behind for their real estate mortgage or auto loan to retain their real estate or auto. This prevents the real estate from being foreclosed upon by a creditor or the auto from being repossessed by a creditor.
A Chapter 13 bankruptcy is sometimes required if a person requires debt relief, but their income is too high to qualify for a Chapter 7 bankruptcy.
In some cases, a Chapter 13 is the only option when there was a recently filed Chapter 7 bankruptcy, and the time period for re-filing another Chapter 7 bankruptcy of 8 years has not expired.
There are other reasons that may require the filing of a Chapter 13 bankruptcy as opposed to a Chapter 7 bankruptcy when someone is having financial problems and requires debt relief.
Please call the attorneys at Bailey & Gunderson at (513) 631-0022 with office in Norwood, Western Hills and Anderson Township for further information if you are considering filing for Chapter 13 bankruptcy to address your financial issues.
