Alabama Chapter 13 Plan is a form of debt relief available to individuals in the state of Alabama. It is a repayment plan under which individuals can pay off their debt over a period of three to five years. The plan divides the debtor's debts into three categories: priority debts, secured debts, and other unsecured debts. Priority debts are those deemed most important by the bankruptcy court and typically include taxes, child support, alimony, and certain wages. Secured debts are those backed by collateral, such as car loans and mortgages. Other unsecured debts are those that do not have collateral attached, such as credit cards and medical bills. Under the Alabama Chapter 13 Plan, individuals must make a monthly payment to the court-appointed trustee, who then distributes it to creditors. This payment is based on the debtor's income and the amount of debt owed. Payments are typically made for 36 to 60 months, and the amount can be reduced or even eliminated if the debtor's income is low enough. The Alabama Chapter 13 Plan also allows individuals to keep their property, such as their homes, cars, and other assets, if their payments are made on time. The two types of Alabama Chapter 13 Plans are the traditional and the modified plans. The traditional plan requires the debtor to make payments over a three to five-year period, while the modified plan offers additional flexibility by allowing the debtor to modify the terms of the repayment plan. Under the modified plan, debtors can extend the repayment period up to seven years and reduce the amount of the monthly payment.
Alabama Chapter 13 Plan
State:
Alabama
Control #:
AL-BKR-777
Format:
PDF
Instant download
This website is not affiliated with any governmental entity
Public form
Description
Chapter 13 Plan
How to fill out Alabama Chapter 13 Plan?
If you’re seeking a method to effectively create the Alabama Chapter 13 Plan without employing a legal advisor, then you’re exactly in the correct location.
US Legal Forms has established itself as the most comprehensive and esteemed collection of official templates for every personal and business circumstance.
Another excellent feature of US Legal Forms is that you never misplace the documents you purchased - you can access any of your downloaded templates in the My documents tab of your profile whenever you require it.
- Verify that the document displayed on the page matches your legal circumstances and local regulations by reviewing its text description or examining the Preview mode.
- Enter the document title in the Search tab at the top of the page and choose your state from the dropdown to locate an alternative template if there are any discrepancies.
- Repeat the content verification and click Buy now when you are confident that the paperwork complies with all the requirements.
- Log In to your account and click Download. Register for the service and select a subscription plan if you don’t have one yet.
- Utilize your credit card or the PayPal option to pay for your US Legal Forms subscription. The document will be available to download immediately afterward.
- Choose the format in which you want to save your Alabama Chapter 13 Plan and download it by clicking the corresponding button.
- Upload your template to an online editor to complete and sign it quickly or print it out to prepare your physical copy manually.
Form popularity
More info
A chapter 13 bankruptcy is also called a wage earner's plan. It enables individuals with regular income to develop a plan to repay all or part of their debts.To Debtors: This form sets out options that may be appropriate in some cases, but the presence of an option on the form does not. Chapter 13 of the United States Bankruptcy Code allows individuals with regular income to develop a plan to repay some or all of their debts. The Chapter 13 Program is a complex legal proceeding which requires analysis of law and facts to determine when a plan is ready to complete. The Chapter 13 plan is the crux of a Chapter 13 bankruptcy case. Chapter 13 requires you to have enough income to pay particular debts through a three- to five-year repayment plan. Chapter 13 bankruptcy can provide filers the chance to restructure debt into a repayment plan that lasts up to five years. Filing a Chapter 13 petition suspends pending foreclosures and payments of any other debts owed. Payment plans are generally on a monthly or bi-monthly basis, and missed payments can result in a case being dismissed.