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Savannah Lawyers Handling Chapter 13 Bankruptcy Proceedings

A way to keep your home and relieve your debt

If you’re struggling under a heavy debt load, filing for Chapter 13 bankruptcy may be the best option to relieve your financial burden. Gastin & Hill, Attorneys at Law recommends this type of filing for people with large amounts of debt that cannot be discharged through Chapter 7 bankruptcy, such as student loan debt, property taxes or spousal support payments.  Unlike a petition filed under Chapter 7, where a trustee is appointed to oversee the sale of someone’s assets, a Chapter 13 filing allows a bankruptcy court to set a schedule for repayment to creditors, usually over a period of three to five years. Our Savannah firm provides bankruptcy services to people in Chatham, Bryan and Effingham counties and elsewhere in eastern Georgia. Our Savannah attorneys and support staff have decades of experience leading clients through Chapter 13 bankruptcy proceedings. Speak with one of our attorneys today about your options.

What is Chapter 13 bankruptcy?

Filing for Chapter 13 bankruptcy under federal law is sometimes known as debt consolidation or a debt repayment plan. In Chapter 13, as in other forms of bankruptcy, an automatic stay is issued once a petition is filed with a bankruptcy court. Creditors are barred from filing a lawsuit against you for money owed.  And all collection processes, including harassing phone calls, must stop.

Part of the petition filed with a court must contain a repayment plan that the court has the option of rejecting or approving. This plan must outline, very specifically, how you will repay your creditors over a period of 36 to 60 months. You must usually make the first payment one month after the court approves the schedule, with that payment going toward the principal balance of the debt. Creditors cannot charge interest during the repayment period.

Wipe out credit card debt through Chapter 13 bankruptcy

Like Chapter 7, Chapter 13 also helps with credit card debt. Credit card debts are included in the consolidation plan — your obligation for those debts is covered by the Chapter 13 payment. Credit card lenders can no longer charge interest once the Chapter 13 case is filed. Those lenders receive a percentage of what they are owed through the case, paid at a rate that you can afford. When the Chapter 13 plan is completed, any remaining credit card debt is discharged. If this sounds like a viable option for you, contact one of our experienced Savannah bankruptcy attorneys to find out more about Chapter 13 filing.

The chance to keep your home and other Chapter 13 benefits

A Chapter 13 petition benefits you if you know you’ll have a steady income during the repayment period. It is also effective if you have a large amount of debt that cannot be discharged by Chapter 7 bankruptcy, such as:

  • Child support payments
  • Property taxes
  • Court-ordered fines and restitution
  • Income taxes for three prior years
  • Student loans
  • Spousal support or alimony

Filing under Chapter 13 allows you to keep your property, whether a home or apartment, and avoid foreclosure or eviction. You can also avoid other penalties, such as wage garnishment.

Contact us for a free initial consultation about debt modification and Chapter 13 bankruptcy in Savannah

If you have a steady income but are afraid of losing your home, or you have other kinds of debt, such as student loan debt, that Chapter 7 doesn’t discharge, you might consider filing for Chapter 13 bankruptcy. Gastin & Hill, Attorneys at Law provides clients with guidance and support through court-ordered debt repayment. To learn more about the risks and benefits of filing Chapter 13, call us at 912-472-0993 or contact us online to schedule a free initial consultation.