How do I get my creditors to agree to my repayment plan in a Chapter 11 bankruptcy?

One of the benefits of a Chapter 11 bankruptcy is the ability to create a repayment plan that is agreeable to both creditors and debtor. To get creditors to agree to your repayment plan, you’ll need to gather information and documents related to your finances that demonstrate your ability to pay the debt with the repayment plan you propose. This includes any current and future income, your current assets, the value of any real estate you own, and any other debts you may have. Your proposed repayment plan should take into account how much you can realistically afford to pay and should make sure that any payments you make are allocated fairly among all of your creditors. If some creditors are being paid more than others, you’ll need to explain why and how those payments are necessary. Once your plan is complete, it must be filed with the Bankruptcy Court, and the Court will usually approve it after it’s reviewed. Your creditors are allowed to object to your repayment plan if they feel it is not in their best interests. They may also propose alternative repayment plans. In these cases, you and your creditors can negotiate and come up with a plan that is mutually acceptable. Your attorney can help you in these negotiations. You’ll also be required to attend a hearing in front of the judge in order for your repayment plan to be officially approved. It is possible to get your creditors to agree to your repayment plan in a Chapter 11 bankruptcy, but it will require patience and perseverance. If you take the time to prepare a thorough and reasonably organized plan that takes into account your financial situation and desires, you stand a good chance of getting your creditors to agree.

How do I get my creditors to agree to my repayment plan in a Chapter 11 bankruptcy?

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