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Who Collects Payments in Chapter 13 Bankruptcies?

If you choose to file for Chapter 13 bankruptcy with the help of a bankruptcy lawyer, you'll be required to submit a repayment proposal to the court. This outlines the way in which you'll pay back a portion of your debt to your creditors. The repayment plan lasts three to five years. During this time, making your Chapter 13 bankruptcy payments is your top priority, along with paying for basic living essentials like housing and food.

Your repayment plan will be handled by your bankruptcy trustee. You must make each payment to your bankruptcy trustee on the date that your repayment plan specifies. You could make your payment via certified check or money order, or the court might order wage deductions. These days, some debtors might also have the option of submitting electronic payments to their bankruptcy trustees.

If you have any questions about the terms of your repayment plan, the bankruptcy lawyers of Cutler & Associates, Ltd. are here to help. Give us a call today at (847) 961-4572 to set up an appointment at our office in Schaumburg.

Categories: Bankruptcy


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