If you earn a regular wage, you may qualify for debt relief with Chapter 13 bankruptcy in Pasco. Chapter 13 is where you restructure your debts and consolidate them into a manageable repayment plan under the supervision of Franklin County Courts. Unlike Chapter 7, Chapter 13 does not require you to "liquidate," or sell your assets. People who file Chapter 13 usually keep their Pasco home, car, and other valuable personal items.
In Washington state, there are specific requirements for filing Chapter 13. Further, Chapter 13 bankruptcy only discharges certain types of debt. Thus, it is not the right form of bankruptcy for everyone in the Tri-Cities area. Our bankruptcy attorneys in Pasco will help you determine if Chapter 13 is your best legal debt relief option. Contact our law office now to schedule your free consultation. Our Pasco attorneys specializing in Chapter 13 bankruptcy will help you understand what debt relief options are right for you.
We got into bankruptcy law because we care about our neighbors in Pasco. We know what it's like to feel the weight of debt, especially with costs rising all around the Tri-Cities. From the increasing housing prices to rising utility bills, it's tough to keep up. We've walked alongside many of your neighbors, helping them take control of their finances and get back to enjoying the places they love—whether it's a relaxing day at Chiawana Park, a Dust Devils game at Gesa Stadium, or the Franklin County Historical Museum.
We're here to help you, too. Our Pasco legal team will carefully review your situation. If Chapter 13 is the right choice, we'll guide you through the filing process. Don't let debt stop you from enjoying all the great things Pasco has to offer—from exploring the trails at Sacajawea State Park to catching a performance at the Pasco High School Theatre. Whether you're visiting the Pasco Public Library, spending time at the annual Run the River, or grabbing a coffee at a local café, you deserve to enjoy life here.
Is Chapter 13 Right For Me?Chapter 13 bankruptcy is a process that helps you reorganize your debts. It involves creating a manageable repayment plan that lasts between three to five years. Unlike Chapter 7, which may eliminate unsecured debts like credit card balances, Chapter 13 lets you keep your property and avoid foreclosure by catching up on missed payments through a court-approved plan. Washington state requires you to have a regular income and meet state debt limits to file for bankruptcy. The debt limits state your unsecured debts must be less than $465,275, while secured debts must be under $1,395,875. Additionally, you must demonstrate that you can make monthly payments according to the plan.
Chapter 13 Might Be Right For You If:
If any of these signs sound familiar, consider Chapter 13. Speaking with a bankruptcy attorney can help you understand which chapter best suits your financial situation.
How To File For Bankruptcy In Franklin CountyFiling for Chapter 13 bankruptcy in Franklin County, Washington, involves several steps, and it's important to understand the process and the required documents. Here's a step-by-step guide:
Step 1: Meet With A Pasco Bankruptcy AttorneyStart the Chapter 13 process by speaking with our expert Pasco bankruptcy attorneys. Because we specialize in Washington state and federal bankruptcy laws, we can help you understand the state legal requirements for Chapter 13, including eligibility criteria, and explain how the repayment plan will work.
Step 2: Complete Pre-Filing Credit CounselingBefore filing, Washington state law requires you to complete a credit counseling course, which you must take from a government-approved agency. Credit counseling typically takes around 60 to 90 minutes and provides you with all the alternatives to bankruptcy. You will file the certificate of course completion with your bankruptcy petition.
Step 3: Gather Your Financial DocumentsTo file for bankruptcy, you must collect several documents to back up your case. Here's what you'll need:
After gathering all necessary documents, your Pasco attorney will file your Chapter 13 bankruptcy petition with the Washington State Bankruptcy Court, which is located at:
Eastern District of Washington State Bankruptcy Court
Spokane Division
920 W Riverside Ave, Suite 640
Spokane, WA 99201
Your attorney will submit the bankruptcy petition, the Chapter 13 repayment plan, schedules of assets and liabilities (Schedules A-J), and a statement of financial affairs to the bankruptcy court.
Step 5: Automatic StayOnce you file your petition, a bankruptcy judge issues an automatic stay to stop most creditors from pursuing collection actions, such as foreclosure, wage garnishments, or repossession. An automatic stay pauses all debt collection, giving you a much-needed break.
Step 6: Attend The 341 Meeting of CreditorsApproximately 20 to 40 days after filing, you will attend the 341 Meeting of Creditors. The 341 meeting is where the bankruptcy trustee will ask questions about your financial situation. While the meeting is for creditors to ask you questions, they rarely even attend. Your Pasco bankruptcy attorney will accompany you to this meeting.
Step 7: Confirm Your Chapter 13 PlanAfter the 341 meeting, your Pasco bankruptcy lawyer will work with you to finalize and submit your Chapter 13 repayment plan to the court. Your Chapter 13 repayment plan explains how you will repay your debts over the next 3-5 years. The court must approve the plan, and creditors have the chance to object if they don't agree with it.
Step 8: Make Payments Under the PlanOnce the Washington state bankruptcy courts approve your Chapter 13 repayment plan, you will make monthly payments to the Washington state bankruptcy trustee, who will redistribute the payments to your creditors in priority according to the terms of the court-approved repayment plan. You will make payments via wage deduction or direct payments to the trustee.
Step 9: Complete The Plan And Receive A DischargeAfter completing the repayment plan, the court will issue a discharge of your remaining eligible debts. Course completion marks the end of your Chapter 13 bankruptcy, typically after 3-5 years. Then you are done, and your debt is clear.
Filing Chapter 13 is legally complex, so you need an experienced Pasco bankruptcy attorney by your side. We'll protect your financial interests at every step.
Your Top FAQs About Washington State Chapter 13 Bankruptcy AnsweredQ: What is a repayment plan in Chapter 13?A: The repayment plan outlines how you will repay your debts over three to five years. The court and creditors must approve it, and payments will be made through the bankruptcy trustee.
Q: Can Chapter 13 stop foreclosure in Franklin County?A: Yes, Chapter 13 can stop foreclosure. You have the space to catch up on missed mortgage payments through the repayment plan. It gives you the time you need to avoid losing your home while getting back on track financially.
Q: What will happen to my car if I file for bankruptcy in Chapter 13?A: If you're behind on car payments, Chapter 13 can help prevent repossession and allow you to catch up on the overdue amounts over time through your repayment plan. You may also be able to reduce your car loan balance if the vehicle is worth less than what you owe.
Q: Can I keep my property in Chapter 13 bankruptcy?A: Yes, one of the benefits of Chapter 13 is that you can keep your property, including your home and car, as long as you can catch up on payments according to the plan. The goal is to work out a manageable repayment schedule to avoid losing assets.
No matter your questions, our Pasco legal team is here to answer them. Call us now for a free case review, and we'll be happy to help you understand more about filing Chapter 13 in Washington state.
Find Chapter 13 Bankruptcy Attorneys Near MeContact us now for a free consultation, and let's take that first step toward financial relief together.