Lincolnwood bankruptcy attorney shows the benefit of bankruptcy to a debtor. The greatest benefit to the debtor is that the debtor is given not only a second chance because they get a chance to repay what they fell behind after the case was filed but they are also given 14 days notice and the right to cure. So the debtor is given every opportunity to try to make a Chapter 13 plan payment work and make the mortgage payment post-petition work. If they were to fall behind, they are given a gracious opportunity by the fact that there is another repayment plan, a default repayment order that can be entered into between the mortgage company and the debtor. If the debtor does not comply with that order, the mortgage company has to send a 14 day notice. And if it doesn’t cure within 14 days, only then will the stay be modified and will the mortgage company be allowed to eliminate or get out of the bankruptcy Chapter 13 case.
What I’m getting at here is the debtor is afforded all kinds of opportunities to make the case successful. The debtor has the advice of counsel. The debtor has the court which is going to in most cases be favorable and give a Chapter 13 debtor an opportunity to make things happen positively. Now, there are some judges in the district that are a little bit more let’s say creditor friendly. They are a little stricter on the debtor claiming bankruptcy and they don’t give the debtor much quarter. However, many judges will help assist the debtorand give the debtor time to make things work. If a debtor can’t make the Chapter 13 plan payment, is going to be inevitable very quickly when the trustee begins a Motion to Dismiss. In my experience, there are typically two types of debtors for the most part. The first type of debtor is the debtor who is going to make all the payments; everything is going to be successful. They are going to take advantage of this opportunity to repay. They’re going to take advantage of this new lease on life so to speak. And they are going to make all their payments consistently, on time and the case will end with a discharge.
This is the type of debtor that you want to be when you file Chapter 13 bankruptcy. Otherwise, your case is going to be filled with problems and it eventually will lead to a dismissal.