Something new in the bankruptcy is a modification plan where you can attempt to force the lending institution to renegotiate your loan.
Bankruptcy is part of our system of laws in this country. It’s there for a purpose. It’s there to give people a fresh start. There are many examples of people needing to file based upon life events just as a divorce, the loss of a job, illness, those types of things, things that they can’t help. That’s why we have a bankruptcy system in this country.
What determines the payment percentage you make in a Chapter 13? There are two tests that one looks at to determine the amount of the payment.
If your loan is in default or you haven’t made your payments over some time period and you’re about to lose your house, you can – by filing a Chapter 13, you can stay the foreclosure of your house.
My name is Rick Ellis, and I have been practicing law since 1979 here in Sarasota. I would estimate I’ve had approximately 5000+ cases at this point. Chapter 7's and chapter 13's are what I focus on, and today we'll discuss which is right for you.