If Bankruptcy is the best option, the decision is then made which chapter is best suited to achieve the results the client is looking for. In the case of a chapter 13, the process begins with the client completing intake documents and paying the upfront fee.
Fees for chapter 13 bankruptcy range from $500.00 to $1,500.00. Once the documents and the fee has been paid, an attorney will draft the bankruptcy petition and the plan.
The plan will take the total amount of income and subtract taxes insurance, retirement (401k or pensions), living expenses including food, clothing and shelter. The plan will also subtract for car expenses and utilities, children’s costs, medical as well as many others.
The difference between what you earn minus your reasonable expenses will be what is paid on a monthly basis.
In the years Bolinske Law has been doing chapter 13 bankruptcy plans we have never had a planwhere clients find the payment terms worse that what they are dealing with prior to filing.
In a chapter 13 plan, creditors are prohibited from calling, writing, suing, garnishing or harassing. Creditors are also not allowed to charge interest during the term of the plan.
Take control of your financial future and schedule a time to meet with one of our attorneys.