Hoover Chapter 13 Bankruptcy Attorney
Filing for Chapter 13 Bankruptcy in Jefferson County
If you are unable to pay your debts, you may qualify for a Chapter 13 bankruptcy. This type of bankruptcy is designed to give you time to reorganize your debts and repay them over the course of several years.
At Pleasant Legal Solutions, we have the experience to guide you through the Chapter 13 bankruptcy process. We can work with you to develop a plan that works for your unique financial situation. Led by Hoover Chapter 13 bankruptcy lawyer Jeanetta Pleasant, we offer personalized legal services and dedicated, one-on-one guidance throughout the entire process.
If you have questions about Chapter 13 bankruptcy, contact us online or call (205) 736-8984 today. Your initial consultation is free, and we offer payment plans.
What Is Chapter 13 Bankruptcy?
Chapter 13 bankruptcy is also known as a “wage earner's plan.” This type of bankruptcy is similar to Chapter 7 bankruptcy, but it differs in that it involves repaying your debts through a court-approved payment plan.
The court will require you to make monthly payments to a court-appointed trustee, who will then distribute your payments to your creditors. The length of your payment plan will depend on your income and assets and can range from three to five years.
What Are the Advantages of Chapter 13 Bankruptcy?
Chapter 13 bankruptcy is an excellent option for those who have trouble making their monthly payments. It allows you to consolidate your debts and make one monthly payment to a single creditor. It also allows you to keep most—if not all—of your property, as you will only be required to pay back a portion of what you owe.
Filing for Chapter 13 can:
- Provide a realistic means of repaying your debts
- Protect your home from foreclosure
- Put an immediate end to collections efforts by creditors
- Lead to lower monthly debt payments
- Protect co-signers under certain special provisions
- Stop all communication from creditors
If you are struggling to pay your debts, contact Pleasant Legal Solutions. Our Hoover Chapter 13 attorney can help you determine if this is the right option for you and, if so, help you through the process.
Understanding the Chapter 13 Bankruptcy Process
The initial Chapter 13 bankruptcy process in Alabama typically takes between 3 to 5 years, depending on the unique circumstances of your case and the repayment plan approved by the court. This period provides a reasonable timeframe for you to restructure and pay off your debts under the protection of the bankruptcy court.
To file for Chapter 13 bankruptcy in Alabama, you'll need to follow these steps:
- Credit Counseling: You must complete a credit counseling course from an approved agency within 180 days before filing.
- Prepare Your Bankruptcy Petition: Gather all necessary financial documents including income, debt, and asset details. This information will be used to prepare your bankruptcy petition and payment plan.
- File Your Petition: File your bankruptcy petition and proposed payment plan with the Alabama bankruptcy court. Once filed, an automatic stay will go into effect, preventing creditors from taking collection actions.
- Trustee and Creditors Meeting: Attend a meeting with your court-appointed trustee and any creditors who choose to attend. You'll answer questions about your finances and proposed payment plan.
- Plan Confirmation: The bankruptcy court will hold a confirmation hearing to approve or deny your repayment plan. If it's approved, you'll begin making payments to the trustee.
- Make Plan Payments: Make your scheduled payments to the trustee who will distribute the payments to your creditors.
- Completion: Once all payments have been made according to the plan, you will receive a discharge of your debts.
To qualify for Chapter 13 bankruptcy, you must meet certain eligibility requirements. If you do not meet the requirements, you may be eligible to file for Chapter 7 or another form of bankruptcy. You could also choose to pursue alternative debt relief solutions.
You are eligible to file for Chapter 13 bankruptcy if you meet the following criteria:
- Your total combined debts, secured and unsecured, do not exceed $2,750,000.
- You have not had a prior bankruptcy petition dismissed within the past 180 days
- You have received credit counseling from an approved agency within the past 180 days
There may be some exceptions available in emergency situations, but they are rare. If you would like to learn more about Chapter 13 eligibility, please do not hesitate to reach out to Pleasant Legal Solutions right away. We are happy to answer your questions and provide the guidance you need to move forward.
Choosing a Bankruptcy Lawyer for Your Chapter 13 Bankruptcy
Choosing the right bankruptcy lawyer is crucial to the success of your case. At Pleasant Legal Solutions, we have the experience and knowledge to guide you through the Chapter 13 filing process. We can explain the pros and cons of filing for Chapter 13 bankruptcy, as well as what you must do before, during, and after filing.
Our Hoover Chapter 13 bankruptcy attorney has been practicing law for years and has helped many clients get debt relief. We understand bankruptcy laws and are dedicated to helping our clients reach the best possible outcome.
Contact us today to learn more about your options and how we can help you get the fresh start you deserve. We serve clients throughout Jefferson County, including in Birmingham, Bessemer, Hoover, Vestavia Hills, and other surrounding areas.
Call (205) 736-8984 or submit a secure contact form to request a complimentary consultation with Attorney Pleasant today.
We are here to help you start your path toward financial freedom.
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