What is a Chapter 13 Bankruptcy?

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For individuals, there are two common types of bankruptcy: Chapter 7 bankruptcy and Chapter 13 bankruptcy.  We discussed Chapter 7 bankruptcy in a previous post, but as a quick refresher, Chapter 7 bankruptcy is a liquidation bankruptcy that will allow a person to eliminate most of their unsecured debt such as credit cards, medical bills, and personal loans.

On the other hand, a Chapter 13 bankruptcy is a repayment plan.  People who file Chapter 13 bankruptcy are often behind on their house or car payments and want to keep their house or car.

As mentioned in the Chapter 7 bankruptcy post, some individuals may be required to file a Chapter 13 bankruptcy instead of a Chapter 7 bankruptcy if their income exceeds the amount allowed by federal bankruptcy laws.  You would need to visit our office for more detailed information on this bankruptcy law requirement.

In Chapter 13 bankruptcy, the repayment plan usually lasts 3-5 years, and monthly payments are made to the Bankruptcy Trustee.  In order to file a Chapter 13, however, you must show sufficient income to make your monthly payments to the Trustee as well as provide for your family as you normally would.

We encourage you to contact our offices for a free consultation to learn more about how bankruptcy can help you eliminate your debts.

-Stephen

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I am very happy with my experience with Mr. Duncan, his fees are right on. his office is extremely helpful. the few trips to his office were very educational. I was very impressed with the fact that the day of the hearing he took ALL of us to the side and walked us though what was about to happen [none of the other lawyers did that].

-John

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I recently had a financial problem due to loss of income, and I emailed your office about bankruptcy filing. Within minutes, I received a reply and my questions was dealt with in a prompt manner.  Your customer service is of exceptional quality, and I wish to thank you and your staff for providing such excellent service.

-Tony | Trinity, NC

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“I just can’t believe that anyone could have done a better job than Damon and Melissa. The reason we feel this way is they both bent over backwards for us from beginning to end and after. They did things that really wasn’t required of them. Right now if I needed to talk to either one of them I could. They treat you like family.”

– Suzy | Greensboro, NC

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“Damon and Melissa Duncan are the best attorneys that I have ever had the pleasure of meeting. Most attorneys make you feel like your incompetent and nervous but they made me feel right at home the minute I walked into the office. They make everything so easy that you almost forget what you are there for.”