1927 7th Street

   Tuscaloosa, AL  35401

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Bringing peace of mind to the people of Tuscaloosa, Walker and surrounding counties.

Chapter 13 Bankruptcy

Chapter 13, also called debtor's court, is a type of bankruptcy in which you repay your creditors some portion of what they are owed over a fixed period of time, usually between three and five years.  Chapter 13 was designed for the wage earner to repay creditors what they could reasonably pay over a period of time, with the remainder of their debts to be generally discharged, or forgiven.  This is usually a better option for those who have fallen behind on a mortgage or car which they wish to keep.


While this is not an option for everybody, it is a usefull tool for those who are facing a foreclosure and wish to keep their home.  Since the housing bubble burst in 2007 coupled with the financial crisis which began in 2008, many homeowners find themselves underwater or struggling to decide which bills to pay and which ones can wait another week.  Filing a Chapter 13 bankruptcy can allow you to stop a foreclosure, give you time to repay a reasonable amount of debt to your creditors, and regain control over your financial world.


There are several other significant advantages of a Chapter 13 bankruptcy as well.  One is that you may, under certain circumstances, be able to pay for a vehicle at a reduced rate of interest or even less than the principal owed on the vehicle.  While this area of the law can be complex, you should discuss these possibilities with the Elmer Law Firm to find out what may be accomplished.