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Experienced lawyers, driven to succeed on your behalf.


Experienced lawyers, driven to succeed on your behalf.

Chapter 13 bankruptcy is a solution many people seek when confronted with a burden of debt they cannot repay. This option is also referred to as a wage earner’s plan because it is tailored to individuals with regular income who need to restructure their debt payment plan. According to statistics from the United States Courts, filings for Chapter 13 appear to be decreasing, but these three tips are still important.

Taking the following advice can help you prevent a failed bankruptcy, appearance of fraud or a prolonged negotiation. No matter what stage of the bankruptcy process you are in, these tips are essential for ensuring it goes smoothly and you achieve the debt relief you need.

1. Always be honest

Misrepresenting facts or concealing relevant information is one of the biggest mistakes you can make when it comes to filing for Chapter 13 bankruptcy. The most important rule to remember is to always be completely and totally honest. This applies to any documents you submit, forms you fill out or statements you make.

2. Enroll in payroll control

Payroll control is a function of bankruptcy that deducts all debt repayments from the wages earned by a filer. It is mandatory in some cases, but even if it is optional, it is a wise move to make. Too many people enter bankruptcy only to find that they are unable to make the payments demanded by their new plan, too. With payroll control, these payments are automatic.

3. Create a realistic repayment plan

The best way to ensure that your bankruptcy is successful is to create a repayment plan that is realistic. If you overestimate the new sums you will be able to pay, you will find yourself in the exact same situation you were in prior to filing for Chapter 13 bankruptcy. Carefully budget your income and debts in order to calculate a plan that is attainable for you.