If you struggle to meet your financial obligations, Chapter 13 bankruptcy can put a stop to the incessant phone calls and letters from creditors. It also has benefits not available in Chapter 7. You want an experienced lawyer to take you through the process so you get all the benefits the federal bankruptcy laws offer. At the law office of Perry O’Brian, we concentrated our practice on bankruptcy since our founding in 1984.
We have a comprehensive understanding of the laws governing personal bankruptcy filings, as well as the current legal trends. Knowing that bankruptcy can feel intimidating, we make the process as simple as possible to alleviate stress and anxiety. We emphasize responsiveness and efficiency, returning calls and e-mails in a timely manner to seek quick, cost-effective resolution of your financial challenges.
Our Bankruptcy Practice
A Chapter 13 bankruptcy, also known as individual debt adjustment, allows you to set up an affordable plan for repaying a portion of your debts. Following successful completion of your customized, three or five-year plan, your remaining unsecured debt will be discharged. We work with you to come up with a feasible Chapter 13 plan that you can afford. We carefully examine your income, expenses, such as your mortgage, car payments, and debt, in order to craft a repayment plan that works for you.
Several reasons for filing Chapter 13 bankruptcy:
- You failed the means test and do not qualify for Chapter 7.
- In the past 8 years, you filed a prior Chapter 7 case.
- You fell behind in your home mortgage and need time to catch up on the past-due payments.
- You have high interest rates on secured loans, which can be reduced to a reasonable rate in Chapter 13.
- Pay secured debts at 100% only to the value of the collateral. For example, you pay only $5,000 to the creditor on a car that you owe $15,000 as long as the car is only worth $5,000 and you have owned it for 910 days, referred to as cram-down.
- To make them more affordable, you can stretch out repayment of your secured loans over 5 years.
- Strip off wholly unsecured second mortgages.
- Stop foreclosures and repossessions as long as you can cure arrearages or pay off the debt in 5 years.
- Pay off unsecured debts at less than 100% as long as you allocate your projected disposable income into the plan during the commitment period of either 3 or 5 years.
- Keep all of your assets as long as you pay unsecured creditors the amount that they receive in a Chapter 7 liquidation.
- Pay non-dischargeable debt such as tax debt over 5 years.
- Pay some debts that you cannot discharge in Chapter 7 at less than 100% in Chapter 13 such as property settlements in a divorce.
- However, you cannot rewrite the terms of your home mortgage or other long-term secured debts.
We provide a free initial consultation to every client. To schedule an appointment with an experienced Maine bankruptcy attorney, contact us online. Call our office at 207-942-4697 or toll-free at 877-900-9857. Installment payment plans arranged, if necessary.