When deciding to file for Chapter 13 protection, it is necessary to gather all relevant documents. These documents include bills, financial statements, mortgages, loans, and outstanding tax debt. As part of the preparation, it is necessary to list all secured creditors and debt separate from unsecured debt.
The individual who wants to file for bankruptcy must obtain qualified credit and financial counseling before he can proceed to bankruptcy court. This required credit counseling is a relatively new requirement. The hope is to provide people with a foundation to take advantage of their improved financial stability. However, it does impose significant expense and the investment of additional time.
Once the paperwork is prepared, and the case is filed, the automatic stay goes into effect. This means that creditors cannot contact the debtor directly without filing a petition with the court to lift the stay. These actions are not common in a Chapter 13 bankruptcy case, especially as the plan calls for repayment of secured creditors.
Chapter 13 Bankruptcy in Georgia
There are many important things to consider before deciding to file for bankruptcy. A decision of which type of bankruptcy to pursue is also important. If you live in the Roswell or Alpharetta area, the experienced bankruptcy attorneys at Charlton & Glover can help you get relief from your creditors and file the bankruptcy action that provides the most benefits for your unique situation. Contact us or call us at (770) 993-1005 to schedule an initial consultation.