Las Vegas, Nevada, Attorneys for Chapter 13 Bankruptcy
At The Schwartz Law Firm, Inc., we help people facing a wide range of financial challenges thoroughly assess their legal options. Chapter 13 bankruptcy offers a way for many people to save personal assets — including a home under threat of foreclosure — through debt consolidation and reorganization.
Our lawyers and professional staff will explain the requirements and benefits of a Chapter 13 bankruptcy in a sincere effort to help you make the best choice for your future. Please contact us today if you are in financial distress and want to explore legal options that can help you recover.
An Option for High-Income Filers — Reorganization to Allow Recovery
Chapter 13 bankruptcy may be the right path for you if, for example:
- You are struggling with a large debt load, but your income is too high to meet the requirements for Chapter 7 "debt liquidation" bankruptcy.
- You have fallen behind on mortgage payments but believe you will be able to make all past-due payments within a period of 36 to 60 months.
- You need additional time to pay off unsecured debt and have substantial property or assets — including a home and car — that you wish to keep.
Requirements and Benefits of Chapter 13 Bankruptcy
Filing Chapter 13 bankruptcy involves submission and court approval of a plan to pay back some or all of your debts. It also provides an automatic stay to stop a foreclosure proceeding and collections by other creditors.
Another major benefit is that a Chapter 13 filing will stop accrual of interest and late fees, so that you can pay against the principal you owe pursuant to a court approved plan of reorganization. Once you complete the three- to five-year payment plan approved by the court the remaining debt will be discharged and you are entitled to keep your property.
Opportunity to “Strip-Off” Unsecured Liens of Lenders
In a Chapter 13, it is possible to strip-off/cram-down second and third mortgages as long as they are wholly unsecured. In other words, if the value of your home is equal to or less than the balance due on your first mortgage, you can treat the second and third mortgages as unsecured debt, like credit cards, and eliminate them through bankruptcy. Stripping-off junior liens will allow you to keep your home, reduce your monthly expenses, and possibly build equity in the future.
Discuss Your Options With a Knowledgeable Attorney
We approach our work with integrity and care, and we will not push you toward an impractical or unworkable solution. If you want to understand Chapter 7, Chapter 13 and any other viable options for getting a fresh financial start or achieving asset protection, please contact us today.
