Chapter 13 Bankruptcy Lawyer in Savannah

Competent & Client-Focused Legal Representation

Chapter 13 bankruptcy is called the reorganization type of bankruptcy. In this form of bankruptcy, you will propose a three to five year plan to pay off your creditors under the supervision of the Chapter 13 Trustee. Your debts can be reorganized and, as in a Chapter 7, at the end of the process, unsecured debt such as credit cards, medical bills, personal loans, and more will be discharged. Unlike a Chapter 7, however, a Chapter 13 can also help you catch up on mortgage, vehicle, or other secured debt during the plan’s process.

Why Choose Our Savannah Chapter 13 Bankruptcy Services

Some individuals may not be eligible for a Chapter 7 or may wish to save significant assets which means filing for a Chapter 13. At the Law Offices of Mark A. Bandy, PC, we can sit down with you to review your individual circumstances to determine the best plan for you. With more than 20 years of experience, our Savannah Chapter 13 bankruptcy attorney has a thorough understanding of the law, the procedures, and how best to protect your interests throughout the process. Our priority is to provide you with excellent service and competent legal skills that will change your financial life into a positive one.

Need legal advice regarding your financial scene? Call us (912) 331-4501 for your FREE consultation or request one online. Our bankruptcy attorney in Savannah is ready to help.

What Are the Benefits of Filing for Chapter 13?

Called a “wage earner plan,” a Chapter 13 repayment plan proposes a monthly amount to be paid to the trustee of your case. The trustee then pays your creditors with that amount. In some cases, the payment can be used to bring your mortgage or car payment current. In other cases, the payment may be used to pay your unsecured debts. A Chapter 13 bankruptcy does not require you to repay your creditors in full. The amount of your monthly payment is based on your monthly income and expenses as well as your assets and debts. It will be an amount that you can afford.

The advantages of a Chapter 13 can include:

• Halting a foreclosure; in cases where you have not been able to obtain a modification of your mortgage and are facing foreclosure, Chapter 13 can stop the foreclosure and allow you to resolve any delinquency over the three to five year plan.
• A reduction of the interest rate and/or a reduction of the principal amount owed on debts. For example, if you owe more on your car than its worth, you may be able to reduce what you owe to the fair market value or reduce the interest owed on the remaining balance of your vehicle loan.
• “Lien stripping,” in which you can eliminate the security interest of junior lienholders where the fair market value of your home is less than the total amount owed. This places these junior lienholders into the “unsecured debt” category. Whatever is owed on unsecured debt at the end of the three to five year plan is discharged.
• Saving other assets, such as vehicles, boats, other real estate or property by handling delinquencies through the three to five year plan.
• Stopping all further collection attempts made by creditors and collection agencies due to the automatic stay issued by the court; creditors can only go through the bankruptcy court for payment.

On the other hand, some debt cannot be eliminated through a Chapter 13, such as alimony, child support, most student loans, certain taxes, or judgments owed on personal injury or wrongful death claims.

How Does Chapter 13 Work In Georgia?

Chapter 13 bankruptcy is designed to help those who are struggling with overwhelming debt to reorganize their finances and create a manageable repayment plan. Here's how Chapter 13 works:

• Eligibility and Filing: To qualify for Chapter 13 bankruptcy in Georgia, you must have a regular income and your unsecured debts must be below a certain threshold. To confirm that you are eligible and be confident that filing is right for you, consult with a knowledgeable attorney at Law Offices of Mark A. Bandy, PC. We offer a free consultation!
• Creating a Repayment Plan: With the assistance of your attorney, you will develop a repayment plan that outlines how you will repay your debts over a period of three to five years. The plan takes into account your income, necessary living expenses, and the value of your assets.
• Automatic Stay: Once you file for Chapter 13, an automatic stay is immediately enacted, providing protection from creditor actions such as foreclosure, wage garnishment, or collection calls. This gives you the opportunity to resolve your financial difficulties without the constant harassment from creditors.
• Trustee Oversight: A bankruptcy trustee is appointed to oversee your case. You will make regular monthly payments to the trustee, who will distribute the funds to your creditors based on the terms of your repayment plan.
• Repayment Period: The repayment period typically lasts three to five years. At the end of the repayment period, if you have made all required payments, any remaining eligible debts may be discharged.
• Debt Discharge: When the repayment plan is complete, any remaining eligible debts, such as credit card debt or medical bills, may be discharged. However, certain types of debts, such as student loans and most tax obligations, are generally not dischargeable in bankruptcy.

Navigating Chapter 13 bankruptcy in Georgia can be complicated. We recommend working with a seasoned attorney who can answer all of your questions and guide you through the process. At Law Offices of Mark A. Bandy, PC, we have over 20 years of experience assisting individuals and families in Savannah, Georgia, and surrounding areas with their Chapter 13 cases. We offer free consultations, including weekend and after-hours appointments, and can accommodate virtual consultations for your convenience. Contact us to make an appointment for your free consultation and take the first step toward achieving financial stability!