In Kansas, chapter 13 presents a viable solution for consumers with excessive debts. The bankruptcy chapter is a structured repayment plan. It is available for up to five years. The consumer follows the plan based on the total volume of debts and the duration applied to their case. The judge and creditors determine what debts are included in the claim. A local attorney provides access to Chapter 13 in Lawrence KS for the consumers.
Credit Counseling Programs
The state requires all consumers to attend a credit counseling program before they file for bankruptcy. The program must be state-approved. The attorney can provide a list of all the programs available to the consumer. The programs are available for free or at a low cost.
What is Included in the Claim?
The claim presents all debts that weren’t discharged by the judge. They are all debts that were approved by the creditors. The value of the debts is listed in the claim. This value reflects any modifications achieved by the attorney. This includes settlement offers obtained through negotiations. It also defines how the consumer submits their payment each month.
How is Disposable Income Calculated?
The disposable income is calculated by identifying the consumer’s monthly expenses. Next, the judge deducts the cost of these monthly expenses from the consumer’s income. Next, they deduct the monthly payment for the bankruptcy from the remaining income. The left over balance is considered the consumer’s disposable income.
What can Consumers Expect During the Process?
They pay a monthly payment directly to the court, or it is deducted from their wages. They must continue to pay off debts using their disposable income. They cannot start new lines of credit. They must follow all stipulations of their case.
In Kansas, bankruptcy claims provide a clear avenue to becoming debt-free. Consumers choose this option when they need legal assistance to avoid foreclosure and repossession. The claims provide protection throughout the duration of the case. The consumers can achieve a clean slate in some cases and start over completely. Consumers who want to learn more about Chapter 13 in Lawrence KS contact Joseph I. Wittman Attorney at Law for more info now.
