Chapter 13 Debtor with Loss of Income
Chapter 13 debtors should contact their attorney as soon any loss in income occurs. In some cases, your attorney may be able to file a Chapter 13 plan modification to decrease your monthly plan payment for 2-3 months to allow you the opportunity to supplement the loss of income.
When loss of income occurs in a Chapter 13 plan, it is usually the plan payment, mortgage and direct pay auto debt that are the first to become delinquent. Your bankruptcy attorney should be able to offer you options, or at least be able to let you know what option you have if you fall delinquent.
Notifying your Chapter 13 bankruptcy attorney is a necessary preventative measure that will increase your odds of completing a successful Chapter 13 plan.
If you would like to find more information about attorneys in your area, such as a bankruptcy lawyer in Alabama or a bankruptcy attorney in Denver, please fill out a free evaluation.
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