Deciding to take a head-on approach toward addressing debt issues is a major step. It can feel confusing and overwhelming when Louisiana residents decide to file for Chapter 13 bankruptcy, but if successful, their cases could help them achieve financial stability once again. Of course, there are many aspects of the process that individuals may not understand.
With Chapter 13, petitioners will have to create a plan for repaying their creditors over time. Because not just any plan is acceptable, the court must confirm that the proposal would work for the particular situation. This part of the process is known as confirmation. Parties will have time to prepare their plan proposals, and these plans will be presented to the court during a hearing specifically for confirmation.
Individuals will have approximately 60 days to create their plans and hopefully have their proposals confirmed. It can take this amount of time because it is not unusual for circumstances to change during the early stages of a bankruptcy filing. Creditors may be filing claims, and other aspects of the cases will need reviewing. Once parties receive their confirmation orders, they can move forward with other parts of the bankruptcy process.
Because there are so many steps to filing and completing the Chapter 13 bankruptcy process, it can cause some individuals to feel hesitant to utilize this method of debt relief. Fortunately, interested Louisiana residents do not have to attempt to start or complete any of the process on their own. Parties could enlist the help of experienced bankruptcy attorneys who can help them understand the process more fully.