Anticipating the Factors in a Chapter 13 Bankruptcy in Montgomery, AL

Debt can quickly overtake your life and put your finances at risk. You could have your wages garnished and assets seized. You also could have your bank accounts frozen.

Rather than live with significantly compromised money troubles, you can regain your financial security by taking legal action to keep your creditors at bay. Before you file a Chapter 13 bankruptcy in Montgomery, AL, you need to first understand how this particular case works.

Consolidating Your Debts

This type of bankruptcy essentially consolidates your debts into a single lump sum that you pay on over the span of several years. During the time that you pay on your debts, your creditors cannot contact you or take any collective efforts against you. They risk being fined by the court if they break this order.

After the term of your bankruptcy comes to an end, the remainder of most of your debts will be discharged. The only debts that you will have remaining are those involving delinquent taxes, defaulted child or spousal support and student loans.

Taking out a Chapter 13 bankruptcy in Montgomery, AL, will bottom out your credit score during the duration of your case. It also will remain on your credit record for up to 10 years. Still, it can give you the chance to move forward with a clean financial slate.

You can find out more about this type of bankruptcy online. Contact David Weston, Attorney at Law at

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