If you are facing a New Jersey Foreclosure on your home or property, a Chapter 13 Bankruptcy may be a solution to stop the foreclosure process and give you an opportunity to save your home. You are seeking relief and we want to help you.
Since 1981, the attorneys at Gillman, Bruton & Capone, have been helping people and families, just like you, in foreclosure and Chapter 13 Bankruptcy cases. Learn about your rights, options and how a Chapter 13 Bankruptcy can help you save your home and relieve your financial stress. Take advantage of our Free Case Review by an experienced and compassionate lawyer who specializes in Foreclosure and Bankruptcy.
Answers to Frequently Asked Questions About Chapter 13
One of the most frequent reason for filing a Chapter 13 Bankruptcy case is to allow a homeowner to avoid foreclosure and the loss of their home. If a homeowner can resume making their regular monthly mortgage payments, property taxes and insurance and make up the arrears on their mortgage over a period of 36 to 60 months, foreclosure can be prevented.
Example – John and Mary are a married couple who bought a home when both were working, They are six months behind on their mortgage payments of $2,000.00 per month because John lost his job. John has found a new job and they can now resume making their mortgage payment. They cannot pay the arrears on their mortgage and the $30,000.00, they owe on their credit cards because John’s new job pays less then he previously earned and they have no savings left.
John and Mary file a Chapter 13 Petition and Plan which provides that they will begin making their regular monthly mortgage payments and will repay the arrears on the mortgage by making payments of $200.00 per month for 60 months. They will also pay ten percent of their credit card debt $3,000.00, by make a monthly payment of $50.00 per month for 60 months and discharge $27,000.00, ninety percent of the debt. The payments they are required to make on their mortgage arrears and their credit card debt will be paid by them each month to the Chapter 13 United States Bankruptcy Trustee. They must also pay the Trustee ten percent of the amount they are repaying on the mortgage and credit cards. Therefore their the payment they must make each month to the Trustee is $275.00.
If John and Mary make their mortgage payments and payments to the Trustee each month, they will be current on their mortgage and 90 percent of their credit card debt $27,000.00 will be wiped out (discharged), and they will have cleaned the slate and earned a Fresh Start.
Caution: One Size Does Not Fit All in determining whether you qualify for Chapter 13 Bankruptcy, and, more importantly, if it would be in your best interests to file a Chapter 13 Bankruptcy Petition and Chapter 13 Plan. This is why we offer a Free Case Review with an experienced New Jersey Bankruptcy and Foreclosure lawyer to review your own income, assets, liabilities and current circumstances, and look for the best option for you.