Legal Question in Bankruptcy in California

Re: Chapter 13, debt reduced?

I'm not exactly sure what you mean. You can object to claims if you dispute the amounts. Otherwise, the percentage that gets paid depends on your disposable income, the class and priority of debts being paid, and other factors. Ch. 13 plans can repay from 0-100% of unsecured claims depending on the above factors. You may wish to visit my webpage at http://www.bklaw.com/ for more detailed information.

Re: Chapter 13, debt reduced?

Thanks for your posting.

As Mr. Markus indicated, debts can be reduced (and so can payments) in a Chapter 13, but only a Chapter 7 discharges debts. Chapter 13 works like a debt consolidation, where you make a monthly payment to the court, and they distribute money in percentages to various creditors. A Chapter 13 plan is typically from 3 to 5 years.

I hope this helps, but if you have other questions, want more information, or feel that you need legal representation, please feel free to email me directly at [email protected]. I'm happy to help in any way that I can.