Debt discharge with Chapter 13 bankruptcy

By: Ingrid Sure


If you have a steady income but your debts are starting to pile up on you, there is always the possibility of filing for Chapter 13 bankruptcy. You’ve probably heard of this type of debt repayment plan, known as the ‘wage earners’ bankruptcy. Your Minneapolis bankruptcy lawyer should be knowledgeable when it comes to such legal matters. Thus, he/she will explain the percentage you will pay to creditors, ranging from 10% to an impressive 100%. Of course, it all depends on your current financial situation and the amount of debt that made you turn to bankruptcy.

Many of the people who decide to go with Chapter 13 bankruptcy are not usual debtors. For some reason, they have problems meeting payments on their house mortgage or loan, falling behind. If you have the same problems, then it’s high time that you hire a Minneapolis bankruptcy lawyer. You need someone experienced to tell you all the requirements for Chapter 13 bankruptcy. For example, you must be able to dispose of a part of your income in order to pay creditors and reduce some of the debt.

When it comes to Chapter 13 bankruptcy, your Minneapolis bankruptcy lawyer will present you with the entire situation. You will be informed about the length of the bankruptcy and other terms/conditions. The length depends on the income of the debtor. If that income is considered to be under the median income for the US, then the bankruptcy will last for a period of 36 months. On the other hand, if we are talking about someone with an income over the median income, that period is automatically extended to 60 months.

The Minneapolis bankruptcy lawyer will start helping you out by filling a petition for Chapter 13 bankruptcy. This will be followed by a creditor meeting – 341 meeting – in which all the information found on the petition will be verified for accuracy. You will be required to have the following documents for the meeting: picture identification, factual evidence for social security card, recent pay stub, bank statements and balances. If you are not clear about any of these documents requested, make sure you talk with your Minneapolis bankruptcy lawyer. After the meeting, a hearing will be scheduled at the court of the approval of the plan.

There are plenty other types of bankruptcies to discover, including Chapter 7 bankruptcy and Minnesota Single Asset Real Estate bankruptcy. Just use the Internet and schedule a meeting with your Minneapolis bankruptcy lawyer to discuss all of them. It’s important to know what your options are and feel confident you have taken the best possible decision whereas your financial security is concerned!

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Welcome to Thelawway.com! An overview of the bankruptcy process in Minnesota. Provided by a Minnesota bankruptcy lawyer, this is helpful to someone considering their options with respect to bankruptcy.

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