Understanding the Services of a Chapter 13 Trustee

Among the different types of bankruptcies is a Chapter 13, which is often referred to as a “wage earner’s plan. With this bankruptcy, an individual with regular income is allowed by the court to devise a repayment plan that lasts for a three- to five-year period for some, if not all, of the debt owed. Because of the legalities involved, this person should work with a qualified Utica bankruptcy attorney. If you are facing Chapter 13 bankruptcy, the court will appoint a trustee. During the three to five years, payments are made to creditors based on an approved financial plan. The trustee serves in multiple roles, such as overseeing and determining if the bankruptcy is even feasible. Ultimately, the trustee has a responsibility to both you as the debtor and to the creditors, making sure the devised plan is fair for both sides. If one party is unfair to another or either party commits fraud, the trustee would take control by stopping the bankruptcy. Prior to filing, you and the trustee will meet to confirm that no fraud is being committed. To accomplish this, all of the financial information provided by you is carefully reviewed. In other words, the trustee does investigative work to ensure the Chapter 13 bankruptcy makes sense. Obviously, no one benefits if you have financial obligations that can never be met. While looking out for your best interest, the trustee also makes sure that creditors are treated fairly. In working with a Utica bankruptcy lawyer, you will be advised that mediating disputes between you and the creditors is another responsibility of the trustee. Having the authority to speak directly to you and the creditors allows the trustee to make suggestions for compromise. If an agreement is reached, the court has fewer issues to resolve, saving you and the creditors time, effort, and money. According to the agreed-upon financial plan, you pay the trustee, who pays the creditors. As part of this, the trustee makes sure that you are paying and that your creditors are getting their fair share. The trustee also helps educate and advise you. For example, unless you have permission from the bankruptcy court or the trustee, incurring new debt, selling off assets, and refinancing loans are prohibited while in Chapter 13 bankruptcy. However, throughout the three- to five-year repayment period, unexpected expenses may arise. For instance, your car may break down, putting you in a position of needing to purchase a new vehicle, or you may be faced with home repairs or a financial emergency. For these situations, the trustee will review the situation and then guide you to the right decision that will not disrupt the bankruptcy procedure. To help you achieve success with a Chapter 13 bankruptcy filing, the trustee plays a critical role in the overall process. Keep in mind that if you have questions or want legal counsel, you can always work with a reputable Utica bankruptcy law office. In addition, a bankruptcy attorney can help you determine if credit counseling or debt consolidation are options worth...

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Should I Hire a Bankruptcy Attorney in Utica?

When facing the risk of losing your home to foreclosure or being completely overwhelmed with debt and unable to pay, you should consider bankruptcy. Of course, the very thought of filing bankruptcy is frightening, and many people feel as if they’ll be viewed as irresponsible if they file.   You should never feel embarrassed or ashamed when filing for bankruptcy. After all, most people who end up hiring a bankruptcy attorney in Utica have been dealt some hard blows. For example, some people have experienced job loss while others have gone through difficult divorces or faced major health issues. Bankruptcy does not make you irresponsible or a failure, but does allow you to put a bad financial situation behind you while enjoying a fresh start in life.   Princeton University recently studied the finances of over 500,000 individuals who filed for bankruptcy. This study looked at each person’s financial situation five years prior to filing bankruptcy and then again five years after. The results showed that for people who filed successfully, bankruptcy was extremely beneficial.   Study Results Additional things that came to light from the Princeton University study include: Individuals who filed Chapter 13 Bankruptcy earned an average of $5,500 more annually compared to people who had not filed. The average increase in salary for people between the ages of 25 and 40 who filed bankruptcy was over $7,800. The risk of losing a home to foreclosure was dramatically less for people who filed Chapter 13 Bankruptcy. The risk of being on welfare was much less because the ability to work increased for people who filed Chapter 13 Bankruptcy. The lifespan was greater for people who filed Chapter 13 Bankruptcy. Filing for bankruptcy alleviated a tremendous amount of unnecessary stress. Before filing for bankruptcy, as much as 84 percent of the people studied reported feeling seriously stressed but after filing, only 34 percent claimed to be stressed.   Bankruptcy is a legal vehicle that helps in dealing with serious financial problems. By hiring a qualified bankruptcy attorney in Utica, you are given the gift of starting over—you can forget about your past and just focus on a bright future.   If you are ready to eliminate financial stress and make 2016 an amazing year, a bankruptcy attorney in Utica can help. For a free, no-obligation, and confidential consultation, please call us...

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Can you answer YES to any of these questions?

Are you being burdened with any of these scenarios? Can you answer YES to any of these questions? If you answer yes to any of these questions then we can help! Are collection agencies constantly harassing you? Is your mailbox full of overdue notices? Are you using one credit card to pay off another? Has your vehicle been repossessed? Has someone sued you and won? Did your “ex” leave you with all of the bills and only half the household income? Are your total bills as much as you make in a year? Were you laid off from your job and now not working or working for less pay? Have you thought about getting a high interest loan or using your home and/or household goods as security for that loan? Harris-Courage & Grady PLLC understands your frustration and anxiety. As a debt relief firm, we offer real solutions to your financial problems that will bring you peace of mind and a new...

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