Step
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When It Happens
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1. You file for Chapter 13 bankruptcy.
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2. The automatic stay takes effect. It bars your
creditors, once they learn of your filing, from taking any actions to collect
what you owe.
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When you file the bankruptcy petition
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3. The court appoints a trustee to oversee your case. You
will receive a Notice of Appointment of Trustee
from the court.
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Within a few days after you file the
bankruptcy petition
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4. The court sends you and your creditors a Notice
of Chapter 13 Case, which usually contains:
- general information about Chapter 13
bankruptcy
- a summary of your Chapter 13 plan
- the date of the meeting of creditors
- the date of the confirmation hearing,
and
- the deadline by which creditors must
file their claims.
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Within a few days after you file your
Chapter 13 plan
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5. Creditors file written objections to your plan, if they
wish.
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At least 25 days before the
confirmation hearing
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6. You provide your most recent tax return to the trustee.
You may black out certain personal information, such as your Social Security
number.
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At least seven days before the
scheduled date of the first meeting of creditors
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7. You begin making payments under your repayment plan.
(If your plan is never approved, the trustee will return your money, less
administrative costs.)
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Within 30 days after you file the
bankruptcy petition
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8. You attend the meeting of the creditors, where the
trustee and any creditors who show up can ask you about information in your
papers. A creditor may raise objections to your plan with the hope of getting
you to modify it before the confirmation hearing. You must bring any
documents the trustee requests and proof that you‘ve filed tax returns for
the last four years.
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Within 40 days after you file the
bankruptcy petition
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9. You file a modified plan, if you wish.
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Anytime before the confirmation
hearing. You must send a copy of the modified plan to all creditors, who are
entitled to 20 days’ notice before the confirmation hearing. If you don’t
give 20 days’ notice, you will have to schedule a new hearing date.
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10.
You or your attorney attends the confirmation hearing, where the court
addresses any objections raised by creditors or the trustee and approves your
repayment plan.
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The hearing must be held between 20
and 45 days after the creditors’ meeting, unless the court wants to hold it
earlier and there is no objection to the earlier date.
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11.
Creditors file their Proofs of Claim,
specifying how much they are owed. You may also have to file Proofs
of Claim for creditors who don't file their own Proofs.
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Within 90 days after the creditor’s
meeting (180 days for creditors that are government agencies). If you have to
file Proofs of Claim on behalf of creditors, you must do
so within 30 days after the 90-day or 180-day limit.
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12.
You or the trustee files written objections to creditors’ claims, if you have
a reason to object.
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As
soon as possible after the creditors file their claims. You must notify your
creditors at least 30 days in advance of the hearing on your objections.
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13.
The trustee sends you periodic statements showing:
- who has filed claims and for how much
- how much money has been paid to each
creditor, and the balance due each creditor.
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Commonly,
twice a year
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14.
You give the trustee annual income and expense statements.
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Every
year while your Chapter 13 plan is in effect, if requested by the court,
trustee, U.S. Trustee, or a creditor
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15.
You file a Certificate (Form 23) showing that you completed
a course in personal financial management.
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Before
you make your last plan payment
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16.
The court grants your discharge. The court may schedule a brief final court
appearance called a “discharge hearing.” If there’s no discharge hearing,
you’ll be mailed formal notice of your discharge.
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36 to 60 months after you file if you
complete your plan payments; sooner if you seek and obtain a hardship
discharge
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