Florida Chapter 13 Bankruptcy Lawyers
Chapter 13 bankruptcy offers those who are being overwhelmed by unexpected debt such as from divorce or medical emergency. Chpt 13 provides the opportunity to reorganize and create a debt repayment plan that will allow you to get a fresh start and get out from under debt. If you have a home or other asset that you want to save from foreclosure or repossession, Chapter 13 can help.
At Sacks & Sacks, P.A, our Jacksonville Chapter 13 bankruptcy attorneys can help you understand the full range of benefits that Chapter 13 bankruptcy provides for those who are experiencing the difficulty that substantial debt can bring. We will fully examine your financial situation and talk with you about your goals and what you want your future to look like.
How Does Chapter 13 Bankruptcy Fight Foreclosure?
Chapter 13 includes an “automatic stay.” This puts an immediate halt to any collection activities such as foreclosure, repossession or wage garnishments. Under a Chapter 13 plan, you can then make up past due mortgage payments. While you will have to keep up to date on your mortgage during your Chapter 13 plan to keep your home, this should be more manageable considering that the payments you are making toward other types of debt should be significantly lowered.
Once collection activities have been halted, we can begin to work on creating more permanent solutions to your debt situation. Chapter 13 bankruptcy is known as a reorganization bankruptcy. Your debts will be reorganized into a repayment plan that will allow you to become current on your secured debts over a three to five year period. This is dramatically beneficial for those who are behind on their mortgage. Any late payments can be paid off during the repayment period.
Part of determining your repayment plan will be the court’s application of a means test. This will help the court establish payment levels that are designed to work with your current economic situation.
If you are facing overwhelming debt and foreclosure or repossession are looming, call 904-396-5557 or simply contact us online to schedule your free initial consultation.