Chapter 13

Jacksonville Chapter 13 Bankruptcy Lawyers

Let Us Help You Pursue Financial Security with a Payment Plan

Chapter 13 bankruptcy, also called a wage earners plan, is for individuals who have regular income. It involves establishing a plan to repay all or part of your debts by paying creditors in installments over a three- to five-year period. There are several advantages to filing under Chapter 13 rather than Chapter 7, detailed below.

To speak with one of our experienced Jacksonville bankruptcy attorneys, call (904) 574-5499 today.

Stop Foreclosure on Your Home

Chapter 13 is an effective approach if you are serious about keeping your home. It allows you to stop foreclosure and provides you with up to five years to make up the past-due payments while, at the same time, staying current on payments going forward. Additionally, the bankruptcy court has established a mortgage modification mediation program that can assist in obtaining a modification on your home loan.

During the Chapter 13, the bankruptcy court appoints a trustee to collect and distribute the debtor’s funds according to the Chapter 13 plan filed by the debtor. For example, the Chapter 13 trustee will collect payments from you for your mortgage and will send the payment to the mortgage company according to your drafted plan.

In Chapter 7, the bankruptcy court cannot generally impose a requirement on the mortgage company to let the debtor pay his mortgage in any particular fashion, other than as called for by the original note and mortgage. If you are behind on your mortgage payment and keeping your home is a priority, Chapter 13 is generally a better option.

Prevent Repossession of Your Car

In a Chapter 13 bankruptcy, a debtor who is behind on automobile payments can often prevent repossession and keep the car by continuing to make either regular payments or restructured payments through the Chapter 13 plan.

The debtor may be able to reduce the principal balance he or she has to pay the lender if the debtor has owned the vehicle for more than 910 days. If the debtor has owned the vehicle for less than 910 days, they may still be able to reduce the interest rate on the loan and restructure the payment schedule through the Chapter 13 plan. This amount is often lower than the monthly payment called for by the contract.

This same treatment is available for motorcycles, boats, furniture, and, in some instances, even manufactured homes.

Discharge Old Income Tax Debt

Certain income taxes, if they are old enough, are eligible for bankruptcy discharge. In this instance, the tax, the penalty, and the interest are all discharged, and the IRS is stopped forever from trying to collect it.

There are very specific time tests involved, however. Our experienced Chapter 13 bankruptcy attorneys in Jacksonville can help determine what income tax debts might be eligible for discharge. If taxes are not old enough for discharge, the taxes may still be paid out over the life of the Chapter 13 plan.

Another Advantage to Chapter 13

Another advantage to filing Chapter 13 rather than Chapter 7 is the ability to keep non-exempt assets. In a Chapter 7 case, the trustee will only allow the debtor a period of 3 to 10 months to buy back any non-exempt assets. However, in Chapter 13, the debtor will normally be permitted to retain the assets and pay enough money into the three- to five-year Chapter 13 plan to make sure that the unsecured creditors receive at least as much as they would have received if the case had been filed under Chapter 7, significantly reducing the amount of the monthly payment required.

Contact Us to Discuss Your Options

Lansing Roy, P.A. represents clients filing for Chapter 13 bankruptcy who live in Georgia and the Middle District of Florida, Jacksonville Division. As bankruptcy lawyers, we have the skill and experience to assess your individual financial situation, examine all of your options and help you take control of your financial life.

For more information, please call us at (904) 574-5499 or contact us online to schedule a free initial consultation. We also provide answers for your frequently asked questions.

Reviews

From Our Clients
  • “We had great experiences with Mr. Roy. And all the folks here. Kevin and Chris and all the people were very kind and thorough in looking after our situation many years ago.”

    - Kathryn D.
  • “My wife Jane and I were experiencing a very difficult financial situation. Debts, foreclosure, repossession's to name a few. We were referred to Lansing Roy and it was one of the best decisions we ...”

    - Douglas P.
  • “Smartest man on the block!!! A wonderful firm!!! An excellent choice!!! Expand, expand, expand”

    - Brenda B.
  • “Filing for bankruptcy is, obviously, not a pleasant experience. The process, from making the decision, through the final disposition, is emotional and stressful. Our situation was complicated and took ...”

    - Kerry M.
  • “All around great to work with!! This firm is excellent!! I was referred by a family friend and I could not believe the level of service.”

    - Satisfied Client
/

How We're Different

  • Free In-Office Bankruptcy Workshop
  • Well-Versed in Bankruptcy Law
  • Solid Reputation in the Industry
  • Caring & Personable Service
  • Non-judgmental Approach to Each Case