Chapter 13 bankruptcy generally takes three to five years to complete. This type of bankruptcy is designed to help you create a workable payment plan to pay off all or part of your debts over time.

Your home, car, and other property can't be seized to pay off your debts in Chapter 13 bankruptcy, so it’s a great option for reversing default on your mortgage or car loan.

The process begins by drafting a petition with your bankruptcy lawyer that details your income, assets and creditors for the court. Then you meet with the bankruptcy trustee — the person in charge of managing the bankruptcy case — to come up with a debt repayment plan.

The trustee usually consolidates your debts and offers a low monthly payment that you can handle. They calculate this amount based on your monthly disposable income.

After following this payment plan for the amount of time the court determines, the rest of your debts may be discharged, especially if you made all your payments on time.

Castle Law Office has been handling bankruptcies for Kansas City clients from more than 14 years. If you need the fresh start bankruptcy can provide, call us today at 816-842-6200 to speak with an attorney. Or click here to email us and schedule your free consultation.