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Using Chapter 13 to Stop a Home Foreclosure

By Jonathan on April 21, 2025

Use Chapter 13 bankruptcy to stop foreclosure in Georgia — Chapter 13 saves your home from foreclosure

It has been a while since I have discussed some of the basics of the bankruptcy process. Today I’d like to talk about avoiding a home foreclosure using Chapter 13.

If you’re a homeowner and those bills have piled up, maybe you’re even facing the scary thought of losing your house to foreclosure, take a deep breath. You’re not alone, and there’s a way you might be able to hit the pause button and get back on your feet. It’s called Chapter 13 bankruptcy, and it’s a legal tool that can help you keep your home.

Think of it this way: life throws curveballs. Maybe you lost your job, had a big medical bill pop up, or just got caught in that trap of credit card debt with high interest. Whatever the reason, falling behind on your mortgage can feel like a runaway train. But Chapter 13 is like an emergency brake that can give you some time and a structured way to catch up.

What Exactly is Chapter 13?

Chapter 13 bankruptcy is different from other types of bankruptcy. Instead of giving up many of your assets to pay off debts, Chapter 13 lets you create a repayment plan. This plan, which usually lasts three to five years, lets you pay back your debts over time. For homeowners, this is super important because it gives you a chance to deal with those missed mortgage payments. [Read more…] about Using Chapter 13 to Stop a Home Foreclosure

Median Income Numbers for 2025 Filings Now Available

By Jonathan on January 21, 2025

As you probably know, one of the first steps we take in evaluating your case to see if you can fit into a Chapter 7 (or to help us determine what a Chapter 13 would require) is to run a “means test” analysis.

Under the bankruptcy law you can only qualify for Chapter 7 if your household earnings are below the “median family income” for a family with the same number of people as yours. If your household earnings exceed the median income you still may be able to file for Chapter 7 but it can be much more difficult to do so.

Generally speaking, our experience has been that if your household earnings are more than $10,000 to $15,000 over the median income numbers it will be very difficult to fit you into a Chapter 7.

For 2025 filings made through May 15, 2025, the median income numbers in Georgia are as follows: [Read more…] about Median Income Numbers for 2025 Filings Now Available

Has the Atlanta Bankruptcy World Returned to “Normal” in 2023?

By Jonathan on January 21, 2023

The past two years have been a very unusual time for bankruptcy lawyers, bankruptcy trustees and judges and the entire collection industry.

When the pandemic started in March, 2020, courthouses closed throughout the state of Georgia. There were no jury trials and most live court hearings were canceled or suspended.

Federal and state government officials used emergency lawmaking powers to stop collection actions like wage garnishment, foreclosure and repossession. Even when temporary laws stopping civil litigation expired, politicians pressured creditors and collection agencies to hold off on pursuing collection actions against individuals.

By mid to late 2022, however, both formal and informal measures to help individuals hold on to their money came to an end. In our office we first saw an uptick in vehicle repossessions, followed by an increase in wage garnishment, bank account levy and mortgage foreclosure.

As we begin 2023, the forces that protected consumers from aggressive collection activity are gone. Creditors and collection law firms are no longer hesitating to use the courts to pursue legal remedies against individuals. In fact, in some ways it is easier for creditors to use the court systems in most local counties because many courts have retained virtual procedures in lieu of in person court proceedings. [Read more…] about Has the Atlanta Bankruptcy World Returned to “Normal” in 2023?

Should You File Bankruptcy During the Coronavirus Pandemic?

By Jonathan on March 12, 2021

Should you file a personal bankruptcy – either Chapter 7 or Chapter 13 – while the economy continues to be suppressed due to the coronavirus pandemic?

As I discuss in this video, I am advising potential clients who call me about bankruptcy to move very slowly and to learn as much as they can about both the short term and long term implications of bankruptcy.

In many situations, the best course of action is to do nothing. As long as collection actions, foreclosures and repossessions are limited by law or by court closures, an argument can be made that doing nothing is appropriate. You do not want to file bankruptcy now, only to find that your financial situation takes a turn for the worse in six months and you no longer have the bankruptcy option. [Read more…] about Should You File Bankruptcy During the Coronavirus Pandemic?

How to Protect Yourself from Vehicle Repossession In Case of Coronavirus Layoff

By Jonathan on March 31, 2020

If you have lost your job due to the coronavirus crisis, you are likely in survival mode. Your immediate goal should be to “shelter in place” to protect your health and that of your family. Beyond that, whatever funds you have need to be allocated to food and shelter.

But what about transportation? Is your vehicle at risk of repossession even in a time of national emergency? What steps can you take to protect your car or truck?

Your first course of action should be to find out how your vehicle lender intends to handle what is likely to be an increase in delinquencies. If you have not done so already, visit your vehicle lender’s website to see if they have any “coronavirus” relief programs in place. Currently, for example, Ford Motor Credit, GM Financial, Toyota Financial Services, Hyundai Finance and others have plans available. [Read more…] about How to Protect Yourself from Vehicle Repossession In Case of Coronavirus Layoff

What Can You Do if Your Lawyer Failed to Ask for a Reaffirmation Agreement from Your Mortgage Company?

By Jonathan on March 25, 2020

Recently I received an email from a woman who filed bankruptcy several years ago and who recently discovered that her lawyer had not requested or filed a reaffirmation agreement. She has been current on her mortgage before, during and after her bankruptcy but because there was no reaffirmation agreement filed, the mortgage lender is not reporting her on-time payments to the credit bureaus.

She would like to rebuild her credit and believes, correctly, that on-time mortgage payments would be a big help to improving her credit score. However, her case has been closed for almost three years and she doesn’t know if she has any options.

She saw one of my videos where I suggested that refinancing her mortgage could be an option but she is concerned about “rocking the boat” with her mortgage company and possibly losing her house to foreclosure.

She is asking me what she should do. [Read more…] about What Can You Do if Your Lawyer Failed to Ask for a Reaffirmation Agreement from Your Mortgage Company?