What are the Las Vegas Chapter 13 Bankruptcy Rules?
The Las Vegas Chapter 13 bankruptcy rules do not mean you simply repay your debt through the court. In fact, you do not have to pay back any more debt in a Chapter 13 bankruptcy than in a Chapter 7.
When to File Chapter 13 Instead of Chapter 7
When you have had a prior Chapter 7 bankruptcy filing in the last eight years that was discharged. If it was not discharged, it does not count.
There are several reasons to file a Chapter 13 bankruptcy instead of a Chapter 7. One of the most popular ones is if you have had a Chapter 7 bankruptcy discharge in the last eight years. If so, you have to wait to file a Chapter 7. However, if it has been four years since your last Chapter 7 bankruptcy discharge, you can get a discharge in Chapter 13. And remember, you might not have to pay back any more debt than in a Chapter 7. Even if it has not been four years since your last Chapter 7 filing with discharge, you can still file a Chapter 13. However, you will not be able to get a discharge. That’s ok. Use of the automatic stay to stop collection efforts is sometimes just as good.
The most difficult part of the process is creating the Chapter 13 Plan referenced above. This plan must comply with several different rules and regulations, often varied by state, and must show that creditors will still receive as much money as they would have if you had opted to file for Chapter 7 bankruptcy or any other type of bankruptcy. You must also prove that you have enough disposable income to pay off the creditors in full during the pre-specified amount of time outlined in the plan. Without the proper assistance, it can be next to impossible to properly understand and draw up this plan so it can be approved. Contact us.
A Chapter 13 bankruptcy can remain on your credit for up to 7 years. However, you can still refinance your home or buy a new car. if done correctly, you will be given the benefit of a fresh financial start and a new opportunity to build and restore your credit. Be sure that you research all of your options and that you fully understand how this choice will affect you.
What Our Clients Say
“After extensive research regarding bankruptcy attorneys, I found Erik Severino. He was professional, courteous and very sensitive to my situation. Erik was there to guide me and advise me throughout that time.He was extremely knowledgeable, very compassionate, and guided me through the entire bankruptcy process. Erik even followed up with me after the discharge to make sure I was OK. While I haven’t dealt with many attorneys throughout my life, the ones I have dealt with didn’t take any time to check on me after the court proceedings were completed. Erik did.”