Chapter 13 Bankruptcy

While many people are eligible to file Chapter 7 bankruptcy, it may not always be the most beneficial debt relief option for them. Often, individuals who do not qualify for Chapter 7 bankruptcy, because of income or assets, find that Chapter 13 bankruptcy — also known as reorganization bankruptcy — is the best way to relieve their consuming debt.

Freeburg Law Firm, LPA, is dedicated to helping clients across the Cleveland metro area find smart and efficient ways to eliminate debt and regain control of their finances. Led by founding lawyer Toni Freeburg, our firm is located in Mayfield Village. Our lawyer will work with you throughout the entire process, answering your questions and clearing up any bankruptcy misconceptions you may have.

Advantages Of Chapter 13 Bankruptcy

Chapter 13 bankruptcy can be explained as a process of debt reorganization for people with regular income who can pay some or all of their debt over time.

Instead of discharging your debt and sometimes relinquishing your assets to your creditors like in Chapter 7 bankruptcy, Chapter 13 bankruptcy allows people to pay back a portion of their debt in a repayment plan over the course of three to five years. Chapter 13 bankruptcy is ideal for those who have a lot of equity in their home and in other possessions and have the means to keep paying on them.

Like Chapter 7 bankruptcy, some of the best benefits to filing Chapter 13 bankruptcy include:

  • Stopping creditor harassment (phone calls, letters, emails, in-person visits, lawsuit)
  • Stopping home foreclosure
  • Stopping wage garnishments
  • Stopping liens
  • Stopping utility shut-offs

Chapter 13 Bankruptcy Can Benefit Home And Business Owners

In addition to stopping all creditor activity, Chapter 13 bankruptcy may allow you to discharge a second mortgage on your home. This is commonly referred to as mortgage stripping. Mortgage stripping may occur if the value of your property is worth more than your first mortgage. In that scenario, your second mortgage would be considered unsecured debt, like credit card bills and medical expenses.

If you own a business, we can help you understand what type of business debt can be eliminated in Chapter 13 bankruptcy.

Sometimes, bankruptcy is not the most beneficial choice for our clients. If you would like to learn about alternatives to bankruptcy, we can help you, too.

Guiding You Through The Bankruptcy Process

We invite you to contact Freeburg Law Firm, LPA, toll free at 800-637-6308 for a free initial consultation regarding your bankruptcy and debt relief needs. Our law office is located in Mayfield Village, Ohio. Our business hours are Monday through Friday from 9 a.m. to 5 p.m. Evening and weekend appointments available by request.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.