Country Club Hills Bankruptcy Attorney Talks Length Of Chapter 13 Pl...

A typical Chapter 13 plan is going to last anywhere from 3 to 5 years according to County Club Hills bankruptcy attorney.  The Chapter 13 plan could last much shorter than that, provided the debtor pays off 100% of his debt.  Typically a Chapter 13 bankruptcy case is going to begin with a 36 month time frame whereby the debtor is proposing to pay back approximately 10% to the unsecured creditors.  As long as the case has gone 36 months and as long as the creditors have received 10% payment plan, then the case will go to a discharge.  If, however, 36 months is not enough time to pay 10% back to the creditors or whatever proposed percentage is required under the plan, then the case can continue for another 24 months not to exceed 60 months.  The Bankruptcy Code states that a plan payment under Chapter 13 cannot last more than 60 months.  Thus, you want to make sure, based on the amount that you owe to creditors that you are paying enough in your plans so within a 3 to 5 year period, you have paid back either 10% or 100% depending on what your case dictates. 

Once again, if you are able to pay off all of your creditors in full prior to the 36 month period, then your case will end as soon as you have completed all of your payments.  Most debtors typically need the 3 to 5 year period to make the plan payment pay enough to the creditors to make the case work and to receive a discharge under the bankruptcy code.