A Phoenix chapter 13 bankruptcy attorney may be able to help you stay financially stable through troubling times in your life. A Chapter 13 bankruptcy, also called reorganization bankruptcy, can be beneficial for those who are overwhelmed by credit card debt, medical debt, or are facing foreclosure. In Chapter 13 bankruptcy, you can keep your property, but you will need to pay back all or a portion of your debts over a set period of time (typically three to five years). Chapter 13 bankruptcy is not right for everyone, and there are strict requirements regarding eligibility and numerous forms to fill out. For assistance in determining whether you are eligible for Chapter 13, and for help in filing the necessary paperwork, it would be wise to obtain the legal advice of experienced Phoenix Chapter 13 bankruptcy attorney Nicholas Fuerst.
Filing for Chapter 13 Bankruptcy in Arizona
In order to qualify for Chapter 13 bankruptcy in the state of Arizona, you must receive credit counseling from an agency that has been approved by the U.S. Trustee in Arizona within a six month period before filing. You must also take a personal financial management class. In order to file for Chapter 13 bankruptcy, you must complete a bankruptcy petition, a number of forms regarding the details of your finances, and several other documents.
The Chapter 13 Repayment Plan
Chapter 13 bankruptcy requires you to have the resources to fulfill your payment obligations. Your repayment plan will detail how you will pay back your debts, as well as how much you will pay. Any debts considered priority will be paid first. These debts include child support, alimony, tax obligations and any secured debts such as a car loan or mortgage. Any income left will go toward paying of your unsecured creditors, including credit card debts and medical bills. Arizona bankruptcy exemptions will play a role in determining how much you will repay your unsecured creditors.
The Automatic Stay
Filing for Chapter 13 bankruptcy, puts into effect an Order for Relief. Informally known as the automatic stay, this order will stop the collection efforts of most creditors. Therefore, you will have temporary relief from harassing phone calls, and creditors will not be able to garnish your wages or go after your home, car or other property.
Phoenix Chapter 13 Bankruptcy Lawyer
Chapter 13 bankruptcy can offer relief for people struggling with overwhelming debt. Phoenix Chapter 13 bankruptcy attorney Nicholas Fuerst can explain the laws and procedures pertaining to your Chapter 13 case, and assist you in getting the paperwork filled out correctly and on time. For more information, contact the Law Office of Nicholas Fuerst at (480) 755-1930.