Wheaton, IL Chapter 13 Bankruptcy Lawyer

Attorney Helping to Reorganize and Eliminate Debts Through Chapter 13 Bankruptcy in Wheaton, Illinois

Financial problems can strike at any time. If you have experienced issues that have prevented you from paying the debts you owe, such as an unexpected illness or the loss of a job, your debts may become unmanageable. The stress you may experience in this situation can feel overwhelming, but fortunately, bankruptcy may provide you with relief.

Chapter 13 bankruptcy can provide a structured solution that will allow you to repay some of what you owe over time while protecting your assets, stopping aggressive collection efforts, and eliminating certain types of debts. Unlike Chapter 7 bankruptcy, which may require the liquidation of non-exempt assets to pay creditors, Chapter 13 will allow you to reorganize your debts and finances while retaining ownership of your property.

At The McCormick Law Firm, LLC, we will provide you with guidance and support throughout the Chapter 13 bankruptcy process. We will clearly explain the financial and legal aspects of bankruptcy and make sure you take the correct steps to regain control of your financial life. During each step of the process, you can rely on us to provide you with clear communication, dependable advice, and a strategy designed to help you achieve meaningful financial relief.

Understanding the Chapter 13 Bankruptcy Process

When you file for Chapter 13 bankruptcy, a repayment plan will be created in which you will make regular, monthly payments during a three- to five-year period. To qualify for Chapter 13, you must have regular income and debts that fall within the applicable limits. Unlike Chapter 7 bankruptcy, Chapter 13 will not require the liquidation of your assets. Instead, it will create a plan that can adjust payment terms to better align with the debtor's financial circumstances.

The process begins with the filing of a petition in federal bankruptcy court. This petition will include information about your assets, liabilities, income, and expenses, as well as a proposed repayment plan. Immediately upon filing, an automatic stay will go into effect, preventing creditors from initiating or proceeding with foreclosure actions, repossessions, wage garnishments, or any other attempts to collect debts.

The court will appoint a trustee who will oversee the case. When your repayment plan is approved, you will begin making payments to the trustee, who will then distribute them to creditors according to an order of priority. Once you have successfully completed the repayment plan, you will receive a discharge of all eligible remaining debts, providing you with a fresh financial start.

When Chapter 13 Bankruptcy May Be the Right Choice for Your

Chapter 13 may be the preferred option if you wish to avoid foreclosure or repossession while maintaining ownership of your home or other property. Some specific issues that may be addressed through Chapter 13 include:

• Mortgage Arrears: If you are behind on your mortgage payments, your Chapter 13 repayment plan can help you catch up over time while keeping your home.
• Car Loan Defaults: Chapter 13 can prevent a vehicle repossession, and it may allow for reduced payments through "cramdown" provisions.
• Tax Debt: Certain types of tax obligations may be repaid through a Chapter 13 plan.
• Non-Dischargeable Debts: Some debts, such as child support payments, cannot be discharged through bankruptcy. However, you can pay off past-due amounts through your Chapter 13 repayment plan.
• Protection of Non-Exempt Assets: If you own valuable property that you would be required to give up when filing for Chapter 7, you can avoid the loss of these assets by filing for Chapter 13.

Legal Help With the Chapter 13 Bankruptcy Process

At The McCormick Law Firm, LLC, we will provide you with personalized assistance during your Chapter 13 case. We will work to demystify the bankruptcy process, making sure you understand your rights and responsibilities. We will assist with:

• Preparation and filing of all necessary documents, ensuring that you comply with federal bankruptcy laws and local court requirements.
• Communication with the bankruptcy trustee and court, handling the procedural matters during your case and responding to objections or inquiries from creditors.
• Development of a realistic and sustainable repayment plan that fits within your financial capabilities.
• Continued support throughout your repayment plan, including requests for modifications to the plan if your financial circumstances change.

By maintaining open lines of communication, we will make sure you are never left wondering about the status of your case. Our goal is to help you complete the bankruptcy process successfully while empowering you to achieve financial success in the future.

Benefits of Chapter 13 Bankruptcy

In addition to halting immediate collection actions, Chapter 13 offers several long-term advantages. Some of the key benefits include:

• Asset Protection: Unlike Chapter 7, Chapter 13 allows you to keep all of your property.
• Consolidated Payments: Multiple types of debts will be combined into one monthly payment that will be easier to manage.
• Credit Score Recovery: While a Chapter 13 bankruptcy will be visible on your credit report for seven years, you can begin to rebuild creditworthiness even before the plan is completed and a discharge is granted.

Contact Our Wheaton Chapter 13 Bankruptcy Attorney

If large debts are threatening your financial future, Chapter 13 bankruptcy may offer the best path forward. At The McCormick Law Firm, LLC, we will provide you with the legal support and guidance you need to address your debts and regain control of your life. Contact our Wheaton, IL Chapter 13 bankruptcy lawyer today by calling 630-517-8570 to schedule a free, confidential consultation and take the first steps toward a stronger financial future.