Filing Chapter 13 bankruptcy allows a debtor to propose a three- to five-year repayment plan to the court and creditors that offers to pay off all or some of the debt from the debtor’s future income. A Chapter 13 payment plan can be a powerful tool to get a handle on debts that might otherwise overwhelm a family’s ability to deal with them individually outside of the bankruptcy process.
People run into financial problems for many different reasons like job loss, divorce, diminished income, or costly medical bills. Sometimes it can seem like there’s no way out. But declaring bankruptcy might provide the right solution for you to recover from these events.
When you have filed for Chapter 7 bankruptcy, you will have to complete specific steps in order to finish the proceeding and have your debt relieved. The entire process will be handled in the United States Bankruptcy Court’s Minnesota locations and will be overseen by a specialized Bankruptcy Court Judge.