Chapter 13 bankruptcy is also known as a reorganization bankruptcy. In a reorganization bankruptcy, you can keep all of your properties and repay some of the debt following a structured repayment plan showing how you are going to do so from your disposable income, typically over 3-5 years.
Tips on getting a good start when filing for a chapter 13 reorganization bankruptcy case-
- When is the right time to file (at the start of the month or end)?
The first three months are very crucial for the bankruptcy proceedings. Try filing for chapter 13 in the middle of a month and making repayments on the first day from the following month and every month forward.
- Meeting of the creditors.
You have to attend the meeting of creditors (section 341a hearing) with your bankruptcy trustee. You have to show proof of identification, for this, you can bring a government-issued original photo id (like a driver’s license), and proof of your social security numbers like an original W-2 or social security card.
You need to make all of your payments timely and according to your repayment plan or else your case can get dismissed and/or your property will be taken. You also need to keep track of your payments from the time of your bankruptcy filing. Your payments should be a priority.
When it comes to filing for bankruptcy there are many questions in our minds that make us question whether or not should we file for bankruptcy but more often than not we are feared of the myths about filing for bankruptcy and we back out, so having a good attorney can help you move forward with better judgment as well get maximum benefits out of the bankruptcy filing.