CHAPTER 13 WAGE EARNERS

Memphis Lawyer for Bankruptcy Payment Plans

Are you facing a foreclosure sale of your home because you cannot catch up with missed mortgage payments? Do you have credit card debts you cannot repay because you were laid off from a job? Would you be able to pay your debts if your payments could be limited to a realistic percentage of your actual income?

At the Reno Law Firm, based in Memphis, we help clients in Shelby County, across Tennessee, and throughout the region understand the Chapter 13 bankruptcy process and pursue a wage earner payment plan if they decide it is right for them. Contact us to schedule a free consultation with attorney Claire Reno.
Helping Clients Spread Out Debt Payments

Chapter 13 is a debt reorganization program that allows people to put their debts on three- to five-year repayment plans. If your payment plan is approved, you pay a percentage of your monthly income to a trustee, who distributes it to your creditors. Certain debts can be reduced, while others must be paid in full, but without interest.

Although many people refer to Chapter 13 as a "wage earner plan," any regular source of income may allow you to qualify, including unemployment payments, disability benefits and Social Security.

Chapter 13 can help you manage certain types of debt that cannot be discharged in Chapter 7 straight bankruptcy, including mortgages and car loans when you do not want to give up your home or car. You will still have to make your regular payments going forward, but your late payments can be spread out using the payment plan.

Chapter 13 may also be a good option for people who cannot repay debts they accumulated during a period of temporary job loss but who have significant assets they do not want to give up for liquidation in Chapter 7.
Prepared to Handle Future Complications

Given all the uncertainty in the economy, many people who consider Chapter 13 are worried about what will happen if they lose their jobs and can no longer keep up with their payments. There are several options available, including converting the Chapter 13 to a Chapter 7 if job loss occurs.

If you are looking to stop foreclosure, wage garnishment, creditor harassment and other serious consequences of debt, contact us to discuss whether Chapter 13 is right for you.

We are a debt relief agency. We help people file for bankruptcy under the Bankruptcy Code.

At the Reno Law Firm, based in Memphis, Tennessee, we represent clients throughout West Tennessee, including the communities of Brownsville, Germantown, Collierville, Bartlett, Arlington, Millington, Cordova, Covington, Jackson, Munford, Atoka, Brighton and Bolivar; and other locations in Shelby County, Tipton County, Fayette County, Haywood County, and Madison County

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