A Chapter 13 Bankruptcy can allow Los Angeles residents as well as other Americans to pay a fixed payment over time so they can save their home from foreclosure in many circumstances. At times, however, when the delinquent amount owed on a home, known as Arrearages are too great, the plan become unaffordable when only the future income of the person is considered.
Fortunately, payments to the plan can come from several sources. In other words, not all payments to creditors must be made from the debtor's future income. The debtor may choose to fund payments from exempt property, from property of the estate, or from a Contribution from another person.
Many assets that a person has would be exempt from creditors if they declared a Chapter 7 liquidation Bankruptcy. Any of those assets could in theory be used to pay for the plan payments. Also, another person can sign a Declaration pledging them to pay a portion of the debtor's payment. This can often make the difference of a successful Chapter 13 Plan and one that a debtor cannot afford. This becomes an analysis that an experienced Bankruptcy Attorney in Los Angeles can provide as these alternatives can pave the way to getting out of debt and keeping your home, even if it days away from foreclosure.
Through a free consultation, the possibility of saving your home and getting relief is just a phone call away
