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 In Bankruptcy, Blog, Chapter 13 Bankruptcy

People across America are coming to rely on bankruptcy to tackle their overwhelming debts. In states like Texas, there has been an increase in Chapter 13 bankruptcy filings over the past few months. This type of bankruptcy is preferred for many reasons, and is also a fallback plan for those individuals who do not qualify for Chapter 7 bankruptcy protection. There are many benefits to filing for bankruptcy protection, but only if you follow the rules accordingly. If you are approved for Chapter 13 bankruptcy, you will need to develop a repayment plan that shows the court your good intentions of repaying your debts. In exchange for making all of your bankruptcy payments, a portion of your debts, usually unsecured debts, will be dismissed by a bankruptcy judge.

A repayment plan is constructed looking at several factors, with the most emphasis being placed on earned income. If your income does not support your repayment plan, a judge is not likely to approve the terms you propose and your bankruptcy could be rejected. With this being the case, if you plan to file for bankruptcy in Texas, you may wish to work with a San Antonio bankruptcy lawyer that has experience creating acceptable repayment plans to expedite matters on your behalf. To get help from an attorney, contact the Malaise Law Firm now!