Chapter 13

Chapter 13 Bankruptcy Attorneys in Morristown

Helping Clients Throughout Morris County Reorganize Their Debts

Chapter 13 is a form of personal bankruptcy available to individuals. If your level of income prevents you from filing a Chapter 7 petition, you may choose to pursue debt relief by filing for Chapter 13 bankruptcy. You could also choose this option if you have assets that are not protected under Chapter 7 exemptions.

At Ast & Schmidt, we can help you determine if Chapter 13 is the right option for you to achieve debt relief. We can also guide you through bankruptcy proceedings and help you understand the secured and unsecured debt limits for Chapter 13 filings. Our team can work with you to develop a reasonable payment plan that leaves you with the resources you need to make ends meet.

What Is Chapter 13?

Chapter 13, also known as reorganization bankruptcy, is an option for debtors who have the means to pay down their debts. When you file a Chapter 13 bankruptcy, a bankruptcy court will set up a repayment plan, in which you will repay your debt over 3-5 years. Your remaining debts will be discharged upon the completion of your repayment plan.

In addition to other requirements, filers must be current on their tax filings for the past four years.

Benefits of Chapter 13 Bankruptcy

In addition to allowing you to pay outstanding debt through an installment plan, Chapter 13 bankruptcy allows for the payment of delinquent income taxes, child support, and alimony. This form of bankruptcy protects co-signers on accounts from having responsibility for the debt.

In short, Chapter 13 bankruptcy allows you to manage payments to unsecured debt, such as credit cards and medical expense. This form of bankruptcy also allows you to make payments on other types of overdue debts, like mortgage loans, auto loans, income tax, and domestic support.

Dispelling Myths about Chapter 13 Bankruptcy

We feel it is extremely important for our clients to know about the prevalence of myths surrounding bankruptcy. One of the first things we do when we meet with new clients is to go over these misconceptions and clear them up.

The following is a list of corrections to some of the most common myths people encounter when researching Chapter 13 bankruptcy options:

  • Filing a bankruptcy does not permanently ruin your credit. You can learn how to rebuild credit after bankruptcy from our trusted advisors.
  • If you file for bankruptcy, you will not necessarily lose your home, car, or other assets. In fact, you can stop repossession and keep many of your assets.
  • Chapter 13 bankruptcy does not have a means test.
  • If your bank sees a bankruptcy on your credit report, it is still possible they will grant you a loan. Creditors may see bankruptcy as less damaging than years of unpaid debts.
  • When you file a Chapter 13 bankruptcy, it automatically halts all creditor actions against you, including wage garnishment, harassment, repossession actions, and more.

Let Us Help You With Chapter 13 Today

When it comes to debt relief, you may have more options available than you realize. Our attorneys can help you understand your options under a Chapter 13 filing.

Schedule an appointment with us to discuss Chapter 13 bankruptcy. We are available Monday through Friday during regular business hours and, if necessary, evenings by appointment.

Call our firm at (973) 363-2260 or contact us online to get started on your case today.

Past Clients Tell Us Their Stories

  • “Our first impression made us feel comfortable to talk to. They were willing to listen to our situation. They explained everything so we could understand and advised us which way we should go. We ...”

    - Dennis & Mary H.
  • “They were always understanding of our concerns and patient with our questions. Thank you all!”

    - Ann R.
  • “One that is there to help instead of someone who will treat you like another number. 5 stars isn't enough.”

    - M.H., Chapter 7 Client
  • “'m am very grateful to have hired this firm. It was smooth and now I can breathe again. Thank you, everyone, at Ast & Schmidt.”

    - Rich L.
  • “It's nice to know there are still qualified and concerned people in the world today.”

    - Patty R.

What Sets Us Apart

How We Can Help You 
Move Forward
  • Personalized Services Tailored for You
  • Over 30 Years of Bankruptcy Experience
  • Free Initial Consultations
  • Available After Hours by Appointment
  • Direct Advice from Our Attorneys
  • Realistic Expectations Provided

Begin Your Fresh Start

Our team has over 30 years helping clients.  Let us help you.
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