With unemployment rates on the rise due to COVID-19, many are struggling to afford rent and pay the bills. While dealing with debt is never easy, during a global pandemic, it can be especially challenging to navigate. But if you are feeling stressed and hopeless, know that there is a path forward. By filing for Chapter 13 bankruptcy in Atlanta, you can prevent foreclosure on your home, protect your assets, and start the process of rebuilding your financial future. At CMC Law, we serve and advocate for your best interests.

Filing for Chapter 13 Bankruptcy in Atlanta

When you file for Chapter 13 bankruptcy in Atlanta, your debts are consolidated into a repayment plan as determined by your current expenses and income. If this plan is approved by the bankruptcy judge in your case, you are given three to five years to pay back your debts.

While this time extension alone can help to alleviate anxiety and get your finances back on track, Chapter 13 bankruptcy is also a great option if you want to stop foreclosure on your home or avoid asset liquidation.

Using Chapter 13 Bankruptcy to Stop Foreclosure on Your Home

If you have fallen behind on your mortgage payments, your home may be at risk of foreclosure. However, when you file for Chapter 13 bankruptcy in Atlanta, an automatic stay is placed on your property, forcing creditors to cease collection and canceling the sale. This gives you the opportunity to modify past due mortgage payments and have them rolled into your repayment plan so you can keep your house.

Avoid Assets Liquidation with Chapter 13 Bankruptcy

You may find yourself struggling to keep up with asset payments like your car and other personal property. If you file for Chapter 13 bankruptcy in Atlanta, you have the ability to renegotiate your auto loan and interest rate. If the bankruptcy judge approves, you can have this new amount rolled into your repayment plan. If there are other non-exempt assets you wish to keep, you can also consult with your creditors and bankruptcy attorney to negotiate those payments into your plan.

Qualifying for Chapter 13 Bankruptcy in Atlanta

Your ability to qualify in Atlanta will be based on the means test, which compares your income to the median income of the same family size in Georgia. Having some type of reliable income when filing for Chapter 13 is ideal because it provides assurance to your bankruptcy judge and creditors that you will be able to pay off your debts. However, if you are facing financial hardship, the three to five year repayment plan granted by Chapter 13 bankruptcy can help to give you some breathing room as you search for regular employment.

CMC Law Can Help You Eliminate Your Debt

If you are facing issues with debt, filing for Chapter 13 bankruptcy in Atlanta can help establish a repayment plan so that you can start over and maintain a debt-free lifestyle. Contact CMC Law today to schedule a free consultation.

When you work with CMC Law, you will be set on the track to a brighter future.