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Debt Consolidation

Chapter 7 vs. 13
Who Can File
Why Chapter 13
Plan Requirements
How it Works
Debt Consolidation
Where to file
Chapter 13 Fees
Your Attorney's Role
Fair Attorney Fee
Trustee Fees
Your Case Number
Creditor Approval
Advice from Friends
Your Attorney
The Trustee
341 Meeting
Conversion
Effect on Lawsuits
Automatic Stay
Claim Discrimination
Student Loans
Self Employed
Unemployed
How Long?
How Much?
Plan Payments
Payment Problems

How does Chapter 13 differ from a debt consolidation service?

In a Chapter 13 case, the Bankruptcy Court provides for a type of debt consolidation, just as private debt consolidation services do.  However, only a Bankruptcy Court has the authority to:

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Prohibit creditors from attaching or foreclosing on your property;

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To force unsecured creditors to accept a Chapter 13 plan that pays only a portion of their claims; and

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To discharge you from unpaid portions of debts.

Debt consolidation services have none of these powers!

If you take the debt consolidation option, you still run the serious risk of liens, lawsuits and garnishments while you are attempting to pay off your debts.

For more information about bankruptcy, please call us at 408-294-6100, or e-mail us via info@sjconsumerlaw.com.  One of our attorneys will be able to answer any questions which you may have in greater detail.  Please remember that the foregoing information is of a general nature, and does not constitute legal advice.  The facts of each situation are unique, and we must discuss those facts with you before any advice can be given.

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Revised
July 01, 2004

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