Oconee County, GA Chapter 11 and 13
Chapter 11 bankruptcy in Oconee County, GA allows a debtor to enter into an agreement with creditors under which all or a part of the business continues. The business’s debts are restructured so as to allow the debtor to continue the operation of the business. In general any partnership, corporation or limited liability entity except a governmental unit may be a debtor in a Chapter 11 case. Under Chapter 11, only the debtor may submit a plan of reorganization within 120 days of the initiation of the bankruptcy case. Under a typical reorganization plan, the debtor will restructure the debts. Such a plan will generally include the repayment of loans secured by real estate to be paid over an extended time. Intermediate term loans will be proposed to be paid over the remaining useful life of the collateral, which is generally five to ten years.
Chapter 13 bankruptcy proceeding in Oconee County, GA allows the individual debtor to pay down his debts, either whole or a part of it, with the help of a payment plan under the supervision of the court. Debtors filing under this chapter can retain their assets with them while they follow the plan or after they have cleared the required portion of debt. This chapter involves the rehabilitation of the debtor to let the debtor to use future earnings to pay off debts.
A chapter 13 bankruptcy is also known as a wage earner's plan. Under this chapter, debtors propose a repayment plan to make installments to creditors over three to five years. Chapter 13 is designed for individuals with regular income who want to clear their debts but are unable to do so in a timely way. The purpose of this chapter is to enable financially distressed individual debtors to design and work out a repayment plan under which creditors are paid over an extended period of time generally three to five years. The creditors are forbidden from starting or continuing collection efforts during this time.
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Athens Georgia bankruptcy lawyer | Bankruptcy attorneys in Athens GA and Athens-Clarke County - Filing for Chapter 7 Bankruptcy and Chapter 13 Bankruptcy
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