What is the process for filing Chapter 13 Bankruptcy?

In South Carolina, the process for filing for Chapter 13 bankruptcy is slightly different than in other states. The first step is to obtain credit counseling from an approved provider. Once the counseling is complete, you must then prepare and submit a bankruptcy petition, schedules, and supporting documents to the bankruptcy court. This includes a statement of your current monthly income, a list of your creditors and the amounts and nature of their claims, a list of all of your property, and a statement of your financial affairs. Once you have submitted all of the required documents you must attend a meeting of creditors, which is conducted by a bankruptcy trustee. The purpose of this meeting is to allow your creditors to question you about the information provided in the documents you submitted. At this point, your creditors can decide to enter into an informal agreement to modify the debt, or may choose to challenge the validity of the claims being made. If all goes well and your creditors and the court agree to the petition, the court will issue a confirmation order and you will become a Chapter 13 debtor. This will put a stop to any collection activities against you and will give you a structured payment plan to repay your debts over a three to five year period. Once all payments have been made, the court will issue a discharge order which will officially clear the debts listed in the filing.

Related FAQs

What is the process for filing Chapter 13 Bankruptcy?

Related FAQs

Related Blog Posts