Bankruptcy Chapter 13 in Houston Texas by John Mark Cavitt

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Bankruptcy Chapter 13 in Houston, Texas
Chapter 13 bankruptcy is a form of personal
bankruptcy that allows debtors to reorganize
their debts and make a plan to repay them over
time. This type of bankruptcy is often used by
individuals who have a regular income and want to
keep their assets.
By John Mark Cavitt
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Understanding Chapter 13 Bankruptcy
Chapter 13 bankruptcy allows debtors to create a
repayment plan with the court. This plan
typically lasts for three to five years. During
this time, the debtor makes payments to a
court-appointed trustee, who then distributes the
money to the debtor's creditors.
Repayment Plan
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Debtors can include a variety of debts in their
repayment plan, such as credit card debt, medical
bills, and back taxes.
Secured Debts
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Secured debts, such as mortgages and car loans,
are typically included in a Chapter 13 repayment
plan.
Unsecured Debts
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Unsecured debts, such as credit card debt and
medical bills, are also included in a Chapter 13
repayment plan.
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Eligibility Requirements for Chapter 13
Not everyone qualifies for Chapter 13 bankruptcy.
There are several eligibility requirements that
must be met. These requirements can vary
depending on the circumstances of the debtor.
Regular Income
Secured Debts
Unsecured Debts
The debtor must have a regular income. This means
that the debtor must be able to make payments to
their creditors on a regular basis.
The debtor must have secured debts, such as a
mortgage or car loan. These debts are secured by
an asset, such as a house or car.
The debtor must also have unsecured debts, such
as credit card debt or medical bills. These debts
are not secured by an asset.
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The Chapter 13 Repayment Plan
The Chapter 13 repayment plan is a detailed
document that outlines how the debtor will repay
their debts. This plan is created by the debtor's
attorney and must be approved by the bankruptcy
court.
Income
Expenses
Payment Amount
Payment Duration
Monthly income
Monthly expenses
Amount paid to creditors
Length of repayment plan
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Advantages of Chapter 13 Bankruptcy
Chapter 13 bankruptcy offers several advantages
over other forms of bankruptcy. These advantages
can make it a good option for debtors who want to
keep their assets and have a chance to get back
on their feet.
Debt Consolidation
Chapter 13 allows debtors to consolidate their
debt into one monthly payment.
Stop Foreclosure
Chapter 13 can help debtors stop foreclosure on
their home.
Keep Assets
Chapter 13 can help debtors keep their assets,
such as their car or home.
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The Bankruptcy Filing Process
Filing for Chapter 13 bankruptcy is a complex
process. The first step is to consult with a
qualified bankruptcy attorney like John Mark
Cavitt. The attorney will help you gather the
necessary documents and prepare the paperwork.
Consultation
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Meet with a bankruptcy attorney kike John Mark
Cavitt to discuss your financial situation and
explore your options.
Filing
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File the necessary paperwork with the bankruptcy
court.
Court Hearings
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Attend court hearings to discuss your repayment
plan and answer questions from the judge and
creditors.
Repayment
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Make monthly payments to the trustee as outlined
in your repayment plan.
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Working with a Bankruptcy Attorney
It is essential to work with a qualified
bankruptcy attorney. The attorney will guide you
through the process and help you make informed
decisions. They will also negotiate with your
creditors on your behalf and ensure that your
rights are protected.
Legal Expertise
An attorney has the knowledge and experience to
navigate the complex legal system.
Negotiation Skills
An attorney can negotiate with your creditors to
reduce your debt or modify your repayment plan.
Protection of Rights
An attorney will ensure that your rights are
protected throughout the bankruptcy process.
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Conclusion and Next Steps
Chapter 13 bankruptcy can be a valuable tool for
individuals who are struggling with debt. It can
provide a fresh start and give you the
opportunity to regain control of your finances.
Consulting with a qualified bankruptcy attorney
is the first step to exploring your options.
Financial Counseling
Consider seeking financial counseling to develop
a budget and manage your finances going forward.
Credit Monitoring
Monitor your credit score and report any errors
to the credit bureaus.
Debt Management
Implement strategies for managing your debt, such
as budgeting, saving, and building your credit.