Alaska Chapter 13 Plan (Cases Filed or Converted on or after 12/1/17) is a type of repayment plan in the United States Bankruptcy Code that allows individuals with regular income to obtain debt relief while retaining control of their finances and assets. This type of repayment plan allows the debtor to propose a plan to pay off their debts over a period of three to five years. Debts may be paid in full or partially depending on the debtor's income and expenses. Generally, priority debts such as child support and alimony must be paid in full and secured debts, such as mortgages and car loans, must be paid in full or the collateral must be surrendered. Unsecured debts, such as credit cards and medical bills, may be paid partially or discharged. The Alaska Chapter 13 Plan is divided into two categories: the Standard Plan and the Modification Plan. The Standard Plan consists of a proposed payment plan that must be approved by the Bankruptcy Court. In this plan, the debtor can propose to pay a certain percentage of their unsecured debts over the three to five-year period. The Modification Plan allows the debtor to modify existing debt payments and terms. This type of plan is beneficial for debtors who are unable to make their existing payments or need to reduce their payments. Both plans must be approved by the Bankruptcy Court before they can be enforced. Once approved, the debtor must make their monthly payments to the Bankruptcy Trustee who will then distribute the funds to the creditors. The Alaska Chapter 13 Plan can help individuals regain financial stability and create a brighter future.
Alaska Chapter 13 Plan (Cases Filed or Converted on or after 12/1/17) is a type of repayment plan in the United States Bankruptcy Code that allows individuals with regular income to obtain debt relief while retaining control of their finances and assets. This type of repayment plan allows the debtor to propose a plan to pay off their debts over a period of three to five years. Debts may be paid in full or partially depending on the debtor's income and expenses. Generally, priority debts such as child support and alimony must be paid in full and secured debts, such as mortgages and car loans, must be paid in full or the collateral must be surrendered. Unsecured debts, such as credit cards and medical bills, may be paid partially or discharged. The Alaska Chapter 13 Plan is divided into two categories: the Standard Plan and the Modification Plan. The Standard Plan consists of a proposed payment plan that must be approved by the Bankruptcy Court. In this plan, the debtor can propose to pay a certain percentage of their unsecured debts over the three to five-year period. The Modification Plan allows the debtor to modify existing debt payments and terms. This type of plan is beneficial for debtors who are unable to make their existing payments or need to reduce their payments. Both plans must be approved by the Bankruptcy Court before they can be enforced. Once approved, the debtor must make their monthly payments to the Bankruptcy Trustee who will then distribute the funds to the creditors. The Alaska Chapter 13 Plan can help individuals regain financial stability and create a brighter future.
