When creditors are knocking on your door, you might feel like there are no options left. That couldn’t be further from the truth. The legal system offers several ways to discharge your debts and reset your finances, including Chapter 13 bankruptcy.
At Jungers Law Firm, we have decades of collective experience navigating the bankruptcy process. Our Chapter 13 bankruptcy attorneys in Nashville provide insight and counsel that moves individuals toward debt relief. More people than ever trust this process as an appealing alternative to Chapter 7 bankruptcy.
Chapter 13 bankruptcy consolidates your debts, including child support, alimony, mortgages, student loans, and other unsecured debts.
Each debt has a different repayment period, principal balance, and due dates. We can assist in streamlining those debts, so you can make a single payment to creditors and lenders each month. Chapter 13 bankruptcy is the ideal path for people who want to hold on to their property.
The legal system reserves it for individuals that earn an income, securing it the nickname of the wage earner's plan. Chapter 13 bankruptcy takes three to six months to complete, with payment plans that last three to five years.
Chapter 13 bankruptcy allows you to keep all your assets in exchange for a repayment plan. A Chapter 13 bankruptcy attorney in Nashville will file exemptions, letting you hold on to your belongings. Those exemptions remain in place as long as you stick to the repayment plan.
Non-exempt properties factor into the repayment structure. The courts consider your debts, income, and property to determine your monthly income versus living expenses. The difference in sums serves as the basis for the repayment plan.
The most significant advantage of Chapter 13 bankruptcy is that you can keep your possessions. It also offers more flexibility in repayment terms than many other bankruptcy options. You can stretch out payments over a longer time or reduce the monthly payment to make the process more manageable.
There are limitations, and it's not uncommon to still feel like you’re in a pinch post-bankruptcy. Chapter 13 bankruptcy requires people to pay in disposable income after they cover necessities, like rent, food, and medicine. This stipulation means there isn’t a lot of money left over for discretionary spending.
Bankruptcy also severely dings your credit score, with the demerits lasting up to a decade. You’ll need to give up your credit cards, too, which may have got you in trouble in the first place. You can apply for a new line of credit after one to three years but likely wouldn't have the financial strength to get a mortgage or other sizeable loan.
Call Jungers Law Firm, and a Chapter 13 bankruptcy attorney in Nashville can walk you through all the pros and cons of bankruptcy. We are here to find a debt relief solution that works on your terms and budget. Learn more about Chapter 13 bankruptcy by scheduling a consultation today.