San Francisco Bankrutpcy: Ch. 13 BK

Something to know: Chapter 13 bankruptcy is an interest-free debt repayment plan through which you consolidate your debts and make payments on your debt over a 3 to 5 year period. While in a Chapter 13 debt repayment plan, the creditors cannot collect from you, and the creditors are required by a Federal Court order to adhere to the terms of the plan.

One very important thing to remember about Chapter 13 bankruptcy is that you must be working or have a consistent source of income for your repayment plan to be approved by the court. Not only must you be able to pay for your monthly living expenses, but also you must also be able to make a payment to the court to consolidate your debts.

Debts that are generally consolidated in a Chapter 13 bankruptcy are mortgage arrears, balances on vehicle loans, student loans, credit card debts, and other unsecured debts. All outstanding debts must be included in the Chapter 13 bankruptcy consolidation.  Call our San Francisco office to make and appointment to speak with an attorney at Sagaria Law.

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