Filing for Chapter 13

Whether you selected Chapter 13 for its unique benefits because you did not qualify for Chapter 7 or because Chapter 7 exemptions did not adequately protect your property, the Chapter 13 bankruptcy process officially begins by filing a bankruptcy petition with the bankruptcy court serving your county in North Carolina. Your filing must include a number of documents:

• Schedule of assets and liabilities
• Schedule of current income and expenses
• Schedule of executor contracts, including unexpired leases
• Statement of financial affairs
• Certificate of credit counseling
• Previous year’s tax return

Your payment plan is formulated by you and your attorney, who may make use of a Chapter 13 payment calculator. After filing your petition, you must submit a payment plan within 14 days. Under the plan, priority claims must be paid in full. Secured claims must also be accounted for, unless you surrender the property with the security interest. Depending on the amount of disposable income you have after handling priority and secured claims, you may not need to pay for unsecured claims. You must begin making payments under your Chapter 13 payment plan within 30 days of your filing, even if the court has not yet approved the plan. Within 45 days, the judge holds a hearing to verify that your plan is feasible and meets the standards for confirmation.

Contact us today for guidance

Understanding the Chapter 13 process can reduce your anxiety and help you better plan for the future. At Blalock Law Offices, P.A., I can guide you through the process one-on-one. Please call today at (336) 274-2343 or contact us online to schedule your free consultation.