One of the common questions people ask us is how long does it take to complete a Chapter 13 cases. As I have written about other types of bankruptcy such as Chapter 7 cases take a matter of months in most cases however Chapter 13 cases can take from 3-5 years to complete. Here is a basic breakdown of what happens in a Chapter 13 case and how long it usually takes:
- Initial consultation with an attorney (we offer same-day appointments at our Orem office)
- Gather and turn in your paperwork, including taking the one-hour Credit Counseling course (this depends on you and how quickly you can gather the information) Learn more bout our Bankruptcy Lab.
- Case is filed (At a signing appointment usually scheduled 2-3 days after we receive your paperwork)
- Court assigns a Trustee and sets up a hearing (usually takes 14-21 days)
- Attend the 341 Meeting of Creditors Hearing (scheduled 20-40 days after your case has been filed)
- Any necessary modifications to your plan are made, and all creditors are notified of the changes (at least 20 days before the Confirmation Hearing)
- Chapter 13 plan get approved.
- Creditors file “Proofs of Claim,” indicating the amount they are owed. (within 70 days after bankruptcy filing date, or 180 for government agencies)
- Your attorney files any objections to the creditors’ claims
- The trustee sends you semi-annual statements showing claims that have been filed, how much money has been paid to each creditor, and the remaining balance due to each creditor
- You complete the two-hour Financial Management course (before you make your last plan payment to the trustee)
- The court grants your discharge. (36-60 months after you filed your case, if you complete your plan payments) Source: https://www.nolo.com/legal-encyclopedia
This of course this is merely a quick overview of what can happen in a common Chapter 13 case. Each case is different but all cases need to be completed within 60 months of being filed though the case may stay open for a short period of time after that to clear up loose ends and finalize the accounting in the case.
Working with your attorney you can develop your own timeline for your Chapter 13 case and determine what is your best course of action. #utahbkguy