The biggest reason why you would file for Chapter 7 Bankruptcy is to make an effort to quickly erase all or most of your debt. But significant changes to your circumstances may make you realize that petitioning for Chapter 7 Bankruptcy was a bad idea. As a result, you might try to think of other solutions to pay off your debt, such as converting your Chapter 7 Bankruptcy to a Chapter 13 case after recognizing that filing for Chapter 13 Bankruptcy would have been the better option.
To successfully petition for converting your Chapter 7 Bankruptcy to a Chapter 13 repayment plan, reliable legal services would be needed. That’s why the next call you need to make should be to the Miller & Miller Law, LLC, as our team consists of skilled Milwaukee Bankruptcy attorneys who know everything about how to convert Chapter 7 to 13 Bankruptcy. So, if you want to live a life with zero credit card debt, avail of a FREE case evaluation with our experienced Bankruptcy attorney right away!
Why Do I Need a Bankruptcy Attorney in Wisconsin?
Probably the most difficult aspect of being in so much debt is when you have to continuously receive calls from your creditors, collection agencies, and other interested parties. Our Bankruptcy attorneys at Miller & Miller Law, LLC will carefully look at your current financial situation and work with you and figure out the quickest way to clear your debt. We will guide you during every step of the Bankruptcy proceedings, which also involves how to convert Chapter 7 to 13.
Each Bankruptcy attorney in our firm works hard to give the best possible legal services for every client by:
- Being committed to giving clients a chance at becoming financially free
- Being dedicated to helping individuals struggling with debt get their normal lives back
- Having the necessary experience to tackle any possible scenarios certain unique cases may present
- Having the ability to provide highly-personalized legal assistance to all clients
- Having the capability to handle a wide range of legal problems outside of Bankruptcy
If you think you’re better off making Chapter 13 Bankruptcy plan payments and need to know how to convert Chapter 7 to a Chapter 13 case, take advantage of Miller & Miller, LLC’s FREE case evaluation by calling us immediately!
What is Bankruptcy?
Bankruptcy is a federal legal process by the United States government made to help an individual or group clear their debt or create a repayment plan to gradually pay back what they owe. Contrary to what some people think, Bankruptcy can be a good thing as it acts as a safety net for an individual, family, or business that owes a large sum of money.
In the state of Wisconsin, the two Bankruptcy chapters that the majority of individuals petition for are a Chapter 7 case (Liquidation) or a Chapter 13 case (Consumer reorganization). Before you even consider converting your Chapter 7 Bankruptcy to a Chapter 13 Bankruptcy case, it’s important to know the basics of each.
What is Chapter 7 Bankruptcy?
Also known as Liquidation, filing Chapter 7 Bankruptcy is where a Chapter 7 trustee gathers and sells most of your assets which are not protected by exemptions. Because of this, Chapter 7 filing will most probably result in you losing much of your property. This is why it’s necessary to know which of your properties are exempt before agreeing to do it, as the Bankruptcy process might end up taking away most of your valuables.
Under this Bankruptcy petition, you can keep your car, social security, and other personal belongings like your clothes. Nonetheless, talking to a reliable Milwaukee Bankruptcy attorney about these bankruptcy exemptions will give you a clear picture of what you can expect during the process.
What is Chapter 13 Bankruptcy?
Unlike in Chapter 7, filing Chapter 13 Bankruptcy will not result in any of your property being seized and sold off. It instead allows you (along with a Chapter 13 trustee) to develop a repayment plan to clear all your debt within three or five years. If your monthly income at the time of filing is bigger than the applicable state median, you will have a five-year payment repayment plan. If your monthly income at the time of filing is less than the applicable state median, your payment plan will only be for three years unless the Bankruptcy court approves a longer period.
The biggest advantage of filing for Chapter 13 bankruptcy is the opportunity to not lose any property at all. Also, you won’t be directly in contact with your creditors while being protected by Chapter 13. Nonetheless, you are still obliged to pay your dues within the agreed period – and it can get quite expensive as time goes by.
What is the Process of Converting your Chapter 7 Bankruptcy to Chapter 13?
Before you can convert Chapter 7 to Chapter 13, you must first know why doing it may make sense for you:
- Converting by court order – The United States Bankruptcy Court will mandate that you convert Chapter 7 to 13 once they determine that you do not meet the eligibility requirements for Chapter 7 Bankruptcy filing.
- Voluntary conversion – It’s possible that your financial situation can change as time goes on. This can result in you suddenly becoming unwilling to part with some of your assets. Other factors that might affect your decision include forgetting to declare a significant asset and an amount of debt that only Chapter 13 filing can discharge.
On the other hand, below are reasons why converting Chapter 7 Bankruptcy to Chapter 13 case does NOT apply to you:
- The United States Bankruptcy Court has determined that you are not eligible to file for Chapter 13 Bankruptcy
- You have acted in bad faith (e.g., the Bankruptcy trustee finds out that you chose to not declare a significant asset)
- You have already converted your Bankruptcy case from another chapter (e.g., initially filing for Chapter 13 Bankruptcy, then converting it to Chapter 7)
As for the process of how to convert Chapter 7 to Chapter 13 per the Bankruptcy code, below are the steps:
- File a motion that obtains the court’s permission to convert your Bankruptcy case
- Send the motion to everyone involved (creditors, trustees, and other interested parties)
- Attend a brief hearing
In some cases, the court will grant your petition even without a hearing. However, there are also cases where the court has additional orders that you need to follow. Make sure you’re working with a trusted Wisconsin Bankruptcy attorney, so you are successful in converting your Chapter 7 Bankruptcy to Chapter 13.
To get more free legal information about how to convert Chapter 7 to Chapter 13 and if you’re immediately qualified for additional debt relief, book a free case evaluation with our Bankruptcy lawyer today!
Call our Milwaukee Bankruptcy Attorney Now!
It doesn’t matter which chapter you choose to file for; opting to go through the Bankruptcy proceedings is one of the toughest choices one can make. That’s why you will need all the help you can get in filing bankruptcy – something our Bankruptcy law attorneys at Miller & Miller Law, LLC can absolutely provide!
Apart from walking you through how to convert Chapter 7 to 13 Bankruptcy, we also offer excellent legal advice on the following areas of practice:
- Bankruptcy Alternatives
- Credit Repair
- Personal Injury
- Debt Negotiation
- Student Loans
- Tax Debt Resolution
If there are other details you want to learn about filing bankruptcy or converting your Chapter 13 Bankruptcy to Chapter 7 and building your credit score, visit our law firm so we can do an initial evaluation of your Bankruptcy case free of charge!