Overview on Chapter 13 Bankruptcy
Eliminate a Portion of Your Debt
Like Chapter 7, Chapter 13 bankruptcy gives you the opportunity to
erase most or all of your debts and
obtain a financial clean slate. However, you will be required to pay off a portion of your debt in the process. This is accomplished through a Chapter 13 payment plan, which enables you to consolidate your debt into one category, and pay it off in installments over a period of years. The payment plan is created based upon your disposable income, and will still allow you to afford your basic living expenses, such as your house payment, vehicle payment, and utilities. Once all of your installment payments have been made, the bankruptcy court will discharge your debt, regardless of whether or not the cumulative total of your payments satisfies your outstanding balance.
An attorney from Price Law Group is available to provide you with further information about Chapter 13, as well as personalized assistance should you decide to move forward with the filing procedure. The firm has already assisted over 100,000 individuals in addressing their financial problems, and ensures that every bankruptcy petition completed on a client's behalf is well prepared and filed correctly. At Price Law Group, they will make sure that the proper steps are taken to increase your chances of a successful Chapter 13 filing.
Chapter 13 and Tax Debt
In most cases, debts that you owe to the U.S. government are not dischargeable. However, by including them in your Chapter 13 filing, there may be certain benefits for you to take advantage of. Chapter 13 freezes any penalties or interest on taxes, so any payments you make toward your tax debt go directly to the principal. This may make it possible for you to reduce your interest and penalty burden, and shorten the amount of time required for you to pay off the entirety of the tax debt.
Enlist Trustworthy Financial Advisors
Getting rid of stubborn debt may seem like an impossible task. Filing bankruptcy however, could help you to better manage and afford your bills and payments. Every financial crisis is different, which is why their legal team will sit down with you and help formulate a plan that will meet your specific needs and hardships. Contact their Mesa office today to have all your questions and concerns about bankruptcy answered and find out if Chapter 13 is right for you!