Chapter 13

The Plan – The Chapter 13 plan is a written explanation of how the debtor intends to straighten out his financial mess. The plan describes paying priority and secured creditors in full or in accordance with the original contract terms. As long as the debtor makes all payments in accordance with the confirmed plan, he can remain under the protection of the bankruptcy court. The monthly plan payment is made directly to the Chapter 13 trustee, who disburses the money to creditors in accordance with the confirmed plan.

Bankruptcy Law Network - Chapter 13 Bankruptcy
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