How does one qualify for a partial payment plan? 9 Answers as of May 05, 2015

What exactly is a partial payment plan and how does one qualify for it? I doubt that I will be able to repay my debt in full and want to know what the exact rules concerning partial payment plans are.

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GARCIA & GONZALES, P.C. | Richard N. Gonzales
I'm not sure what that is. I have successfully filed thousands of bankruptcies, and I have never heard that term. You would be better served by meeting with an experienced BK lawyer so he or she can review your situation fully, and spell out all of your options. Any lawyer worth his or her salt will have a small charge for a face to face meeting. You don't want a "free" consultation, since those meeting are very (very) brief, and there may be no time for your questions. A serious lawyer will meet with you for an hour and thoroughly review all of your options with you. Good luck!
Answer Applies to: Colorado
Replied: 5/5/2015
Law Office of Michael Johnson
Law Office of Michael Johnson | Michael Johnson
You need to contact attorney to discuss your options.
Answer Applies to: Florida
Replied: 5/4/2015
Ronald K. Nims LLC | Ronald K. Nims
In a Chapter 13 bankruptcy, your payments are determined by subtracting your reasonable living expenses from your income. If that amount will only pay a faction of your debts, then you have a partial payment plan.
Answer Applies to: Ohio
Replied: 5/4/2015
Deborah F Bowinski, Attorney & Counselor at Law | Debby Bowinski
Are you referring to a chapter 13 bankruptcy filing? The best way to get accurate and reliable information about what your options are and how they would work for you is to schedule a consultation with an experienced bankruptcy lawyer. Most of us offer at least a brief no-cost initial consultation.
Answer Applies to: Colorado
Replied: 5/1/2015
A Fresh Start
A Fresh Start | Dorothy G Bunce
I have no idea what the phrase partial payment plan means to you. The chapter 13 program often results in people paying a small amount of their debt over 5 years, and at the end of the 5 year period, the rest of the debt is completely eliminated. To analyze how this might work in your situation would require a review of the amount of your debt, the type of your debt, and the money you have available to pay debt. For example, I commonly represent people who have large tax debt, so the payments made in the chapter 13 program are allocated towards repaying this debt first. Other creditors may be paid a little or nothing at all.
Answer Applies to: Nevada
Replied: 5/1/2015
    Richard B. Jacobson & Associates, LLC | Richard B. Jacobson
    First things first. Retain an experienced bankruptcy lawyer who can review all the relevant facts an explain the law and procedures to you. By 'partial payment plan,' (which is not a term we usually use), I assume you mean a Chapter 13 Plan, which can last 36 to 60 months. The payment into the Plan is calculated using some fairly complicated measurements (or 'algorithms') that help determine how much you 'disposable monthly income' is. That's what goes into the Plan, generally. Certain claims must be paid in full; but most general, unsecured claims, get paid what's left. That could be 1%, or 10%, or in rare cases 100%. Find a good lawyer, and it should all work out. Good Luck.
    Answer Applies to: Wisconsin
    Replied: 5/1/2015
    Tokarska Law Center
    Tokarska Law Center | Kathryn U. Tokarska
    If you are referring to filing chapter 13 restructure repayment plan, the amount of the payment is driven by three different criteria. Disposable income, non-exempt assets - although most debtors don't have any, and any debts that are secured by collateral that you wish to keep or priority unsecured debt that must be paid off during the plan. All of these are loaded with caveats and considerations. I cannot walk you through a chapter 13 analysis, however there are many books on the subject. There are some self help books you can check out, like Nolo Chapter 13, which may be available at your local library. There are also practice guides from various publishers, like CEB, NCLC, which are likely available at your local law library. Since the success rate in chapter 13 without an attorney is less than 2%, the safest route is to research local bankruptcy attorneys who have solid chapter 13 experience and hire that person to handle the case. They will complete the analysis and walk you through the results distilling the information down to your particular circumstances.
    Answer Applies to: California
    Replied: 5/1/2015
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    You are asking about a chapter 13 bankruptcy. The payment is calculated two ways. First, if you have too much "stuff" (meaning more than the property you are allowed to keep as "exempt" property) - you have to pay the value above what is exempt. Say you have a home worth $400K (and you owe 300K) and you are single in California. Your homestead exemption is $75K. You therefore have to pay 25K in a Chapter 13 case. OR you make too much money. (and there are two ways that can happen - as calculated by the bankruptcy code). You have to pay the amount each month which represents your "disposable income as determined by the "means test" which is a formula. OR if there has been a change in your income over the last 6 months you pay the difference between your reasonable expenses and any your income. This is the basic concept. There are quite a few rules in how this is all implemented. I suggest any time you have equity in home you you get a lawyer. See the attachment.
    Answer Applies to: California
    Replied: 5/1/2015
    The Law Office of Darren Aronow, PC
    The Law Office of Darren Aronow, PC | Darren Aronow
    You will pay in a chapter 13 the amount that is your surplus income every month
    Answer Applies to: New York
    Replied: 5/1/2015
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